Local market design and bidding strategies of prosumers

The distribution system is witting increasing penetration of prosumers, who can act both as providers and consumers. Little research has been conducted on the biding model of prosumers in the market. So this paper investigates bidding strategies for various prosumers as well as energy storage. The quantity-price bidding curves of various prosumers are presented integrating characteristics of both the provider and consumer. Then, a local market for prosumers is designed and the market-clearing model is constructed to maximize social welfare. Prosumers just submit the quantity-price bidding curves rather than detailed component parameters to the local market. Case studies validate the effectiveness of the proposed market clearing model. Costs of prosumers are decreased in local market. Energy storage reduces the price peak and costs of prosumers in the local market. Exchanging power between local market and the utility gird is also reduced.