Abstract:

Promoting the carbon market will help achieve carbon peaking and carbon neutrality goals. The power industry will face a multi-entity and multi-market coordinated trading pattern of electricity-carbon market coupling, in which environmental costs are transmitted into the electricity market through the carbon market. However, in the current market-clearing mechanism, the environmental benefits of power generators have not been effectively included, resulting in unsatisfactory results for low-emission units, mainly based on new energy sources, which affects the realization of goals. Therefore, by introducing incentive factors to adjust the bidding strategy of unit power generation, an incentive-clearing mechanism to promote the absorption of new energy was designed under the background of electricity-carbon market coupling. Thus, a two-layer model is established: the upper layer models the bidding strategy of heterogeneous power generators, and the lower layer models the incentive market-clearing mechanism. The model is solved with a deep reinforcement learning algorithm. The analysis indicates that the design model can correctly describe the interaction between the coupling markets and that the designed clearing mechanism increases the proportion of power generation in new energy units, promotes the absorption of new energy, and improves the social and emission reduction benefits of the power industry.

Key words: electricity-carbon market coupling, incentive-clearing mechanism, deep reinforcement learning, heterogeneous power generators, new energy consumption