Study on the standard construction plan of power market in China

The stand market design was proposed by FERC after years of exploration, which aimed at designing a set of rules for every link of power market and standardizing the market design of every state through the unified framework. Some thoughts of the SMD were summarized from the experiences of present mature market, while the others were proposed firstly, and needed to be practiced to develop. Based on the current situation of electricity market in China, this paper proposes the basic elements which are thought to be necessary to the China’s standard power market construction plan with application of SMD idea. These basic elements mainly include energy-saving and environmental protection, capacity adequacy, market structure, bidding mode, price formation mechanism, risk avoiding mechanism and market regulation, and so on. Furthermore, the accomplishment and development of these basic elements should be different according to the different stages or different regions, therefore, there are also some proper suggestions which can be useful for making the rule fare, transparent and stable, as well as guiding the market to develop healthily.