A Dynamic Bidding Model of Power Markets Involving Transmission Constraints and Bidding Bounded Constraints

A dynamic bidding model of power markets is presented in this paper. The new model is composed of a difference dynamic system and the bounded constraints of bidding variables. The remarkable characteristics of the model include: (i) it adopts a process of dynamic adjustment bid where the limit point is the Nash equilibrium point; (ii) the transmission constraints of the network are considered; (iii) the bound of the bidding variables is involved. A numerical simulation is also presented to test the model´s behaviors, including the convergence, the stability, and the relationship between the stability and parameters, respectively. The simulating results show that the new model is valid.