Modeling and Simulation of Bidding Strategies of Generation Companies Based on Multi-population Replicator Dynamics

As independent economic entity, each power generation company in China participates in current electric power market competition by price bidding. Multi-population replicator dynamics of evolutionary game theory is applied to model and simulate power generation companiespsila discriminatory and bounded rationality bidding strategies according to different generating set status in a power market. The spontaneous forming process of the generation companiespsila bidding strategies and evolutionarily stable strategies are both analyzed. A practical case is set to verify the modelpsilas ability and reliability. The results not only demonstrate the multi-population replicator dynamics model can describe the dynamic process of generation companiespsila bidding quite well, but also suggest reasonable price competition rules must be constituted so as to ensure and promote the healthy development of the generation-side power market.