Research on Trading Strategy of Retail Electricity Market Based on Stackelberg Game Considering Carbon Trading

In this paper, the formation of day-ahead clearing price and trading strategy in the retail electricity market is studied under the pattern of one-leader-multi-follower game with the aggregator and users. A two-stage half-zero-sum bilinear Stackelberg game model of electricity transaction combined with carbon trade is proposed and the existence of Nash equilibrium point is proved. The solution idea of mathematical programs with equilibrium constraints (MPEC) problem is applied to transform the complex two-stage Stackelberg game problem into a mixed integer quadratic programming (MIQP) optimization problem. Furthermore, by solving the MIQP problem, a Nash equilibrium solution can be obtained. Case studies on an electricity market with one aggregator and seven enterprises demonstrate the effective and practicability of the proposed method in forming the day-ahead market clearing price and the trading strategies of each player.