Wind power trading with block demand and linear supply in deregulated electricity market

In the emerging electricity markets, a suitable trading mechanism is required to accommodate the wind power generations to recover their costs. In this paper block bidding mechanism is extended to demand side with linear supply. This may result in system stability. This may benefit the wind generators as more instability of generation is there due to unpredictability of wind flow. In block bidding scenario wind generators can predict their generation for the demand in a better way for a bigger time block. In this paper a practical approach is proposed by taking variable block demand. Market clearing price has been analyzed in both supply side and demand side bidding scenarios for bid trading models. This paper can be a guideline for the policy makers and Market Operators to promote the wind power with system transparency. Calculations have been done with the help of MATRIX LABORATORY.