Steel Park IES Participation in Electricity-Carbon Market Collaborative Trading Based on Stepped Carbon Trading Mechanisms

Steel enterprises have significant potential for energy conservation and emission reduction in terms of energy consumption and carbon emissions in China. However, these enterprises are not motivated enough to interact with the grid supply and demand during production operations, and it is difficult to balance the interests of all parties. Therefore, this paper proposes a synergistic trading model for the integrated energy system (IES) of steel parks to participate in the electric carbon market by combining the dynamic material flow in the production process and introducing electric arc furnaces to replace part of the blast furnace-converter capacity, aiming to guide the parks to save energy and reduce emission and to improve the motivation of the interaction between supply and demand. It responds to TOU price and a ladder-type carbon trading mechanism, incorporating carbon trading costs into the objective function. The problem can be transformed into a mixed-integer linear programming problem, which is easily solvable using existing solvers. Finally, the feasibility of the proposed IES for steel parks to participate in the collaborative trading strategies of electricity and carbon markets to achieve energy conservation and emission reduction is verified based on production data from a steel park in Yunan Province.