Searching for Electricity Market Equilibrium Using Coevolutionary Computation Approach

This paper proposes a new and practical model to achieve the electricity market equilibrium based on Linear Supply Function Equilibrium (LSFE) model. In the proposed model, the transmission constraint in addition to the generation constraint and the consumers bidding behavior are considered. The coevolutionary computational approach is proposed to solve the market equilibrium problem. Several cases under the different market conditions from the sample system are tested to validate the effectiveness of the proposed method. Simulation results show that the proposed approach rapidly converges to the pure strategy Nash Equilibrium if it exists. The approach proposed in the paper is robust and flexible, and has the potential to be used in the study of the complicated and real-world electricity markets.