Agent-based dynamic simulation of an electricity market with multilateral bidding

Abstract

The electricity market is a complex system in which participants interact and compete with each other, which makes description of them with mathematical models difficult. To solve these difficulties, computer simulation has become one of the main methods for studying electricity market problems. How to establish a reasonable electricity market has always been a major research issue in the electric power industry, for which a key point is the bidding mechanism. Agent-based modeling and a simulation (ABMS) method are used in this paper to study the imperfect competitive electricity market. An agent-based simulation method of multilateral bargaining game theory in the dynamics of the power bidding market is presented, and a multi-agent power market bidding dynamics simulation model based on game theory is established. The dynamic bidding game behavior among the government, power grid companies, power plant companies, and consumer parties is simulated in the market, and the simulation method is realized by Anylogic software. Finally, an agent-based four-party competitive dynamic game simulation in the electricity market is implemented, which provides a theoretical reference for further understanding resource optimization problems in the electricity market.