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An electricity and carbon trading mechanism integrated with TSO-DSO-prosumer coordination

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  • Li, Junkai
  • Ge, Shaoyun
  • Liu, Hong
  • Yu, Qi
  • Zhang, Shida
  • Wang, Chengshan
  • Gu, Chenghong

Abstract

Due to the proliferation of distributed renewable energy, bidirectional electricity and carbon interaction appears in the coordinated transmission and distribution network and increases complexity in entities' decision-making. To address the issues, this paper develops a hierarchical market framework integrated with electricity and carbon trading. Specifically, an electricity market which combines locational marginal price (LMP) and peer-to-peer (P2P) trading is established considering transmission and distribution coordination. Meanwhile, based on carbon emission flow and P2P trading, a hierarchical coordinated carbon market is also designed to precisely measure and price carbon responsibility and contribution from prosumers. In addition, a hierarchical distributed algorithm is developed to clear the proposed market with privacy protection. Numerical results authenticate the necessity for transmission and distribution coordination, benefits of distribution electricity P2P trading as well as superiority in carbon measurement and pricing method.

Suggested Citation

  • Li, Junkai & Ge, Shaoyun & Liu, Hong & Yu, Qi & Zhang, Shida & Wang, Chengshan & Gu, Chenghong, 2024. "An electricity and carbon trading mechanism integrated with TSO-DSO-prosumer coordination," Applied Energy, Elsevier, vol. 356(C).
    • Handle: RePEc:eee:appene:v:356:y:2024:i:c:s0306261923016926
    DOI: 10.1016/j.apenergy.2023.122328
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    References listed on IDEAS

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    1. Dong, Jingya & Song, Chunhe & Liu, Shuo & Yin, Huanhuan & Zheng, Hao & Li, Yuanjian, 2022. "Decentralized peer-to-peer energy trading strategy in energy blockchain environment: A game-theoretic approach," Applied Energy, Elsevier, vol. 325(C).
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    Cited by:

    1. Jiang, Kai & Wang, Kunyu & Wu, Chengyu & Chen, Guo & Xue, Yusheng & Dong, Zhaoyang & Liu, Nian, 2024. "Trajectory simulation and optimization for interactive electricity-carbon system evolution," Applied Energy, Elsevier, vol. 360(C).
    2. Chengling Hu & Hao Bai & Wei Li & Kaigui Xie & Yipeng Liu & Tong Liu & Changzheng Shao, 2024. "Optimal Scheduling of Networked Microgrids Considering the Temporal Equilibrium Allocation of Annual Carbon Emission Allowance," Sustainability, MDPI, vol. 16(24), pages 1-20, December.
    3. Huo, Shasha & Li, Qi & Pu, Yuchen & Xie, Shuqi & Chen, Weirong, 2024. "Low carbon dispatch method for hydrogen-containing integrated energy system considering seasonal carbon trading and energy sharing mechanism," Energy, Elsevier, vol. 308(C).

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