Research On The Formation Mechanism Of Interprovincial Barriers In Electricity Market

With the advancement of a new round of electric power system reform,the scale of power transaction across provinces and regions is growing.Through cross-provincial and cross-regional power transactions,the large-scale flow and optimal allocation of energy resources can be realized,which will help expand the regional power market and establish a unified national power market.However,in terms of the construction of provincial electricity market and interprovincial electricity trade,there are still interprovincial barriers and even a growing trend.Through researchs and analysis,it is found that some local governments tend to limit the proportion and scale of purchased electricity in order to protect the interests of power generation enterprises and local economic interests,and the main market players lack the option of purchasing electricity outside the province.The existence of interprovincial barriers lead to the situation that the provincial power market is divided,which greatly impedes the flow of power resources across provinces and regions and restricts the expansion of interprovincial power transaction scale.Therefore,it is of great significance to deeply analyze and break down the interprovincial barriers in power market for promoting cross-provincial and cross-regional power trading and achieving full flow of energy resources.Based on the analysis of the current situation of interprovincial power trading and interprovincial barriers,this paper firstly analyzes the formation mechanism of interprovincial barriers,and then establishes an evolutionary game model to analyze the game equilibrium strategy between relevant stakeholders,and then constructs a panel data model to test the impact of related factors on the formation of interprovincial barriers,finally summarize and put forward the corresponding governance policy recommendations in order to break the barrier of the interprovincial electricity market.The main content of this paper has the following four aspects:1.Based on the analysis of the current situation of interprovincial transactions and interprovincial barriers in the power market,this paper analyses the formation mechanism of interprovincial barriers.The problem of interprovincial barriers,as an obstacle of system and mechanism,has a great relationship with the current administrative system of the country.Based on the literature review and research analysis,this paper explores the fiscal and taxation decentralization system,political promotion mechanism,local government credit mechanism,interprovincial interest distribution mechanism from four different perspectives,and provides some basic ideas on breaking the interprovincial barriers.2.Establish an evolutionary game model between the sending local government and the receiving local government,the receiving local government and the central government to deeply analyze the process of interprovincial barrier formation.There are many related stakeholders involved in the formation of interprovincial barriers,and based on the contradiction of interprovincial interests,this paper simplifies it into a game between the sending local government and the receiving local government,the receiving local government and the central government,and explores the game equilibrium strategies in the process of evolution and analyze the specific formation of interprovincial barriers and related influence factors.3.Utilize the panel data model to test the influencing factors of interprovincial barriers.Although all provinces have outsourced electricity,in order to better explain the actual demand for electricity purchases in various provinces,this paper uses net outsourced electricity as the explained variable,and selects 13 provinces whose net purchased electricity is positive as the analysis samples,and selects the relevant data from 2000 to 2016,and considers fiscal decentralization,political promotion,government credit and related indicators,and studys the influence of local government administrative intervention on its power purchase.4.Based on the results of the evolutionary game model and the panel data empirical test,this paper summarizes and puts forward some policy suggestions to break the interprovincial barriers.Based on the basic idea of the policy of interprovincial barriers management,adopt the more reasonable and effective policy proposals to break the interprovincial barriers,to expand the scale of interprovincial power transaction,to improve the efficiency of the optimized allocation of power resources and to realize the great development of the power industry.The possible innovation points in this paper are mainly reflected in the following three aspects :(1)Using the evolutionary game model to analyze the game behavior of relevant stakeholders in the process of interprovincial barriers formation.The evolutionary game model has strong applicability for analyzing the formation process of various institutional mechanisms and related factors affecting its formation,and it is helpful for the in-depth research and analysis of interprovincial barriers.(2)Using the panel data model to analyze the relevant factors that form the interprovincial barriers.Regions with positive net electricity purchases from 2000 to 2016 are selected as the sample for regression analysis of the factors related to the formation of interprovincial barriers and the obstruction of cross-provincial and cross-regional electricity transactions.Through empirical analysis,the research results of mathematical model are further verified,and the formation mechanism of interprovincial barriers is explored.(3)Based on the results of mathematical models and empirical research,on the basis of revealing the institutional mechanisms for the formation of interprovincial barriers,the policy recommendations are proposed in a targeted manner to effectively eliminate interprovincial barriers and establish a unified electricity market.