Research on Trader Management Strategies in the Retail Electricity Market based on Information Asymmetry

From the perspective of asymmetric information theory, this paper analyzes the characteristics and dual-sided impacts of traders in China’s retail electricity market under the wave of electricity reform. It is proposed that due to the large number of asymmetric information in the retail market, there are adverse selection problems and moral hazards between power users and retail power traders. Therefore, a multi-stage game model is established for the transaction costs between power users and retail power traders. By analyzing the internal mechanism and equilibrium relationship of the model, it is proved that the legal and regulatory mechanisms are the key to controlling whether retail power traders will perform their duties in good faith. Based on this, suggestions and countermeasures are proposed for the management of sellers in the retail electricity market, providing theoretical suggestions for the construction of a unified national electricity market system in the future.