Research of Electricity Market Mechanism Based on Combinatorial Clock Auction

This paper studies the combinatorial clock auction(CCA) mechanism, which was first used in spectrum auction. It is the combination of clock auction and proxy auction. First, the clock phase result is obtained through multiple iterative bidding, and then the supplementary bidding is carried out to get the final clearing result and use the near Vickrey price for settlement. The advantage of CCA is to allow bidders to fully express their preferences, consider the substitutability and complementarity between products, reduce the difficulty of clearing through decentralized optimization, and reduce the information that bidders need to submit during trading. This paper analyzes the differences between the spectrum system and the power system, makes targeted improvements to CCA, designs an electricity market mechanism based on CCA that can be applied in different markets. Finally, a numerical example is used to compare the traditional centralized market and the market based on CCA, which shows that CCA significantly increases the social welfare generated by transactions.