Analysis of Expenditure Benefits with Multi-party Market Participants in the Carbon-Electricity Synergy

This paper introduces the carbon emission trading (CET) mechanism into the electricity spot market, and conducts a unified analysis of expenditure benefits, examining the operation and trading mechanisms of the tripartite market of power generation, grid, and users under the coordination of carbon and electricity. An expenditure benefit analysis model is proposed for each participant, and the impact of CET market operation, changes in user demand share on their expenditure benefit is examined. The results show that the main sources of revenue for power generation and grid come from the price difference of electricity purchase and sale and avoidable capacity expenditure. The operation of the CET market leads to higher electricity market clearing prices, reduces the revenue of power generation and users, and increases the revenue of the grid. With the continuous advancement of electricity market reform, the integration degree of CET and the spot electricity market is constantly deepening, and further research on trading mechanisms and strategies among various stakeholders is necessary.