Day-ahead Price Generation Approach for Diverse Participants with V2G Integration

Amid ongoing global electricity market reforms, the day-ahead market plays a key role in next-day dispatch and price formation through competitive trading. Accurately generating wholesale and retail prices requires modeling the coupling effects among conventional generators, renewables, and energy storage. In this context, vehicle-to-grid (V2G) systems have emerged as a dominant form of flexible, distributed storage among market participants, introducing new dynamics to both supply and demand. This paper proposes a simulation-based method that integrates wholesale-retail market interactions, captures nonconvex generation costs, and incorporates uncertainties from renewables and V2G-enabled resources. A case study of the UK electricity market is conducted to evaluate the effectiveness of the proposed method. The results demonstrate that the proposed method generates day-ahead wholesale and retail electricity prices by incorporating supplier and demand data from various scenarios, with the generated prices capturing the overall trend of actual electricity prices.