Bidding Strategy Based On Cournot Model For Hydropower Plants Considering Remain Benefits

Along with the development of reform in electricity market and policy of power in China,the hydropower plants will gradually head for the market and become a competitive utility.Bidding strategy for hydropower plants has become one of the hottest topic in the field of electricity market.Up to now,there are a lot of researches on the electricity market.However,the theoretical and practical validation of the researches was primarily based on thermal systems,and cannot be simply extrapolated to hydrothermal systems.At the same time,the oligopoly market is a kind of realistic mixed market structure between monopolistic competition and complete monopoly.This paper have researched on the strategic bidding problem of hydropower plant under the oligopoly market type,so as to provide the theoretical basis for bidding strategy of hydropower plant on the power generation side,but also provide a reference for renewable energy to participate in the market.Based on the analysis of present researches with regard to the theory on electricity market,this paper gave a brief introduction of the structures of market,traditional models of hydropower plant,market power and related theories,and also analysis the impact of market power on the bidding strategies.Then focusing on the market with the market power and the problem of non-common information,the paper established in-complete bidding models based on Cournot model.The analytical method of the Cournot Nash equilibrium was studied for a number of plants only with one unit.It developed some methodologies and tools centered on primary issues of strategic bidding for hydropower plant,and conclude some valuable theoretical results.After that,the equilibrium output of each power plant under the condition of 10 power plants was studied.Finally,based on the relevant literature of the bidding strategy of the power plant,this paper set up a Cournot bidding model.According to the characteristics of hydropower plant,the effects of nonlinear constraints on the model were studied such as water balance constraints.For further study on the equilibrium between selling benefits of hydropower plant in the future period and selling benefits of hydropower plant in the current period,and to study on the influence of the remaining benefits of hydropower plant bidding strategy,some useful conclusions were obtained.During the bidding process of electricity market,hydropower bidding problem is nevertheless different from the thermals because of reservoir regulation performance.This paper has attempt to work on the issues of hydropower participant in the bidding market and obtain some meaningful results.However,it is necessary to further study and improve theory of hydropower plants,which is of great significance for the advancement of power reform and the operation of healthy market.