GENCO's Bidding Strategy Research Articles

05/00698 Study of impacts of physical contracts and financial contracts on bidding strategies of GENCOs

05/00698 Study of impacts of physical contracts and financial contracts on bidding strategies of GENCOs

05/00700 Biomass fired small-scale CHP in Sweden and the Baltic States: a case study on the potential of clustered dwellings

This paper studies the impacts of physical contracts and financial contracts on the bidding strategies of GENCOs, including Physical Bilateral Contracts, Contracts for Difference (CfDs), Call Options and Put Options under discriminatory pricing mechanism. The integrated bidding decision model is applied, which has three main modules—probabilistic local marginal price simulator, market-oriented unit commitment model and multi-criteria decision system. The numerical results show that the GENCO will choose different bidding strategies if it holds different types of contract. The results also suggest that CfDs have the best performance for risk alleviation.

Study of impacts of physical contracts and financial contracts on bidding strategies of GENCOs

This paper studies the impacts of physical contracts and financial contracts on the bidding strategies of GENCOs, including Physical Bilateral Contracts, Contracts for Difference (CfDs), Call Options and Put Options under discriminatory pricing mechanism. The integrated bidding decision model is applied, which has three main modules—probabilistic local marginal price simulator, market-oriented unit commitment model and multi-criteria decision system. The numerical results show that the GENCO will choose different bidding strategies if it holds different types of contract. The results also suggest that CfDs have the best performance for risk alleviation.

The study of the impacts of potential coalitions on bidding strategies of GENCOs

The paper studies the impacts of potential coalitions on bidding strategies of GENCOs in a pool-based power market. The generator under consideration can form any potential coalition with other generators. Subgroups are then formed and each of these subgroups consists of some members which coordinate their bidding strategies to achieve a common goal. Noncooperative gaming applies among all the subgroups while cooperative gaming applies among the members in each subgroup. By implementation of bids sensitivities the paper presents an algorithm for the members in each coalition subgroup to obtain optimal bids, which essentially is based on interior point optimal power flow (IPOPF) model. A priority list, produced after optimal bids are found for all the potential combinations of coalition, is used by the generator under consideration to bargain with members on the list. The algorithm and model are tested by the IEEE 30-bus system and numerical results are presented.