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Distributed prosumer trading in the electricity and carbon markets considering user utility

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  • Yang, Yuyan
  • Xu, Xiao
  • Pan, Li
  • Liu, Junyong
  • Liu, Jichun
  • Hu, Weihao

Abstract

With the promotion of distributed energy trading and the transformation of power system operation mode, prosumers in the carbon and electricity markets face new opportunities and challenges. This paper proposes a peer-to-peer transaction platform to promote renewable energy consumption and carbon emission reduction, including multiple types of loads, coal-fired units, and microgrid prosumers. The carbon-emitting members of power generation and demand sides in the electricity market are introduced into the carbon market, and their carbon cost model is established. To guide consumption behavior of demand side, the user utility model based on electricity consumption is built to reduce carbon emissions. With the goal of optimizing the generation cost, user utility, and network fees, the distributed optimal scheduling model is established to recover the network fees. Finally, the alternating direction method of multipliers is used to solve this problem and protect transaction privacy. The results indicate that introducing carbon trading at the power generation and demand sides can promote the shift of members' production behavior from high-carbon emission industries to low-carbon ones. Additionally, an appropriate network fee mechanism and unit fee can guide market members to adjust their trading behavior adaptively and help the power grid recover costs.

Suggested Citation

  • Yang, Yuyan & Xu, Xiao & Pan, Li & Liu, Junyong & Liu, Jichun & Hu, Weihao, 2024. "Distributed prosumer trading in the electricity and carbon markets considering user utility," Renewable Energy, Elsevier, vol. 228(C).
    • Handle: RePEc:eee:renene:v:228:y:2024:i:c:s0960148124007377
    DOI: 10.1016/j.renene.2024.120669
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    References listed on IDEAS

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