A mechanism for two-level power market in China: promoting cross regional consumption of renewable energy

Abstract

As the demand for renewable energy is increasing, China has gradually formed two-level power market mode with inter and inner provincial market. The traditional market model cannot reduce the risk of real-time operation caused by the intermittency of renewable energy, and cannot further promote the consumption of renewable energy. This paper introduces the model of China’s two-level market, and proposes a segment bidding mechanism based on the minimum dispatchable interval (MDI). Finally, the mechanism is proved to reduce the risk of real-time operation and demonstrate the effectiveness of renewable energy consumption.