Comparative Study on Generation Right Trading Models for Supporting Renewable Energy Consumption

Generation right trading between renewable generation units and thermal power units is a common practice in China. This paper performs comparative studies of generation right trading models with different objective functions, which may include the optimization of social benefits, energy conservation and emission reduction. Moreover, a multi-objective generation right trading model that combines the objectives of maximization of social benefits and energy conservation is proposed. The ideal point and weight coefficient methods are employed to solve the multi-objective optimization problem. Comparative case studies show that generation right trading with maximization of energy conservation and emission reduction can effectively promote renewable energy consumption.