Electricity Spot Market Trading Mechanism Considering Renewable Energy Curtailment and Peak Shaving Compensation

To address the conflict between renewable energy participation in market competition and guaranteed integration, a trading mechanism tailored for high-penetration renewable energy systems in the electricity spot market is introduced. First, considering the market-oriented integration of renewable energy, the clearing mechanism of the electricity spot market is refined. In a trading environment where renewable energy and thermal power units jointly participate in market bidding, a generation substitution model is established, activated in response to wind and solar energy curtailment, to fully utilize the peak shaving capability of thermal power units. Second, a corresponding settlement mechanism is proposed, where thermal power units are compensated for peak shaving, with costs covered by renewable energy units benefiting from enhanced integration opportunities. Finally, simulation results demonstrate that this mechanism ensures an optimal match between supply and demand for peak shaving resources in the electricity spot market, promotes the effective integration of renewable energy, and reasonably compensates thermal power units for peak shaving costs. This not only encourages thermal power units to undertake flexibility retrofits but also fosters fair competition and equitable proceeds allocation among market participants.