Research of competition manners hydropower units should take to avoid risks when joining electricity market

Based on the study of the manners that hydropower plants should take when they participate in market competition, this paper suggest dividing the total power generation of hydropower into two parts, competitive electricity quantity and non competitive electricity quantity. And the ratio of non competitive electricity quantity can be determined by referring to the ratio of thermal power units that are located in the same regional electricity market. Hydropower plant with better regulation capability can have lower ratio of non competitive electricity quantity. This paper also studies the approaches that can be used to effectively avoid the risk of uncertainty of hydropower waster source, including generation right trades in monthly market, electricity option trades with the same validity period as bilateral contract between electric power companies and large users etc. This paper further raises and explains that trading electricity quantity in day-ahead market is not only an efficient supplement to above approaches, but also one platform that can avoid the risk of uncertainty of daylong water resource.