Research in bidding strategies under different price mechanisms in generation-right trading

In incomplete-competition generation-right markets, generation companies will make bidding strategies to maximize their profits. There are two price mechanisms in generation-right trading markets: the high-low match price mechanism and the clearing price mechanism, the bidding strategies of generation companies are different under different price mechanisms. Based on the analysis of bidding behavior in generation-right trading, this article builds biding modes under different price mechanisms of generation right trading,and a two-level optimization method is proposed in paper. Finally, a test example with 10 market participants is served for verifying the developed model and method, and a further analysis on the bidding behaviors of generation companies under different price mechanisms carried out based on simulation results.