Applications Of Game Theory To Bidding Strategy In Power Market

With the current of electric industry from monopoly to competition, power markethas been established in our country step by step. In the context of power market,generators as the provider of power will bid based on the regulation of power market. Soit is very important to be the winner for generators, which want to exist. Thus it will givea chance to research the bidding strategy of generators too.In this paper, exploration is performed concerning the bidding strategy based on themarginal price prediction and game theory in the context of power market. Firstly, toanalyze the cost of generators and give a quote model based on game theory. Secondly,in combination with market practice, an integrated programming of quoting auxiliarydecision-making system is conducted and the bidding system of computer auxiliary isdeveloped initially using the program.The paper is a try to research bidding strategy based on game theory and I hope itwould be helpful to the others.