Learning the role of regulator in emerging multi-energy market: A simulation approach with agents

According to recent technological break-through in energy conversion area and the implementation of efficiency improvement approaches in energy markets, energy sectors accustomed to operate in parallel with some degree of independency has been forced to compete in emerging multi-energy markets. Understanding the behavior of these relatively unknown markets is crucial for the success of market actors involved. This study proposes a pioneer simulation approach that employs agent-based modeling for studying the behavior of energy retail markets. Using agent technology, a pilot computational laboratory has been developed. The results from this pilot computational lab prove that extremely complex behavior can be emerged from simple interaction of agents. The results also indicate that the regulators may still play important role in open multi-energy retail markets.