Analysis and Research on the Key Issues of Electricity Market Structure and Transmission Congestion Based on Financial Transmission Rights

With the deepening of the marketization of the power system, the scale of transmission congestion in the power system based on node price mechanism will continue to increase. Therefore, it is necessary to adopt effective methods to solve the key problems of transmission congestion that may be encountered by power users. In the market model of bilateral transactions, as a financial tool to avoid congestion risk, the FTR forces its holder to obtain corresponding financial compensation when the transmission network is blocked. Electricity traders with transmission rights can effectively avoid the risk of transmission congestion in the electricity market. This paper takes the financial transmission right as the research object. First, it analyzes the European transmission congestion management and typical power market methods. Combined with the current situation of China’s power market structure and market congestion allocation, it analyzes the problems existing in the current congestion surplus allocation method. It proposes a compensation allocation mechanism design suitable for the financial transmission right blocking environment of China’s power Spot market, and verifies the effectiveness of this mechanism through an example.