A Multi-Objective Programming Modeling of Generation Rights Trading to Support Cross Regional Renewable Consumption

Generation rights trading is one of the market mechanisms that can promote utilization of renewable energy. This paper proposes a new cross regional generation rights trading model with two objectives: maximization of social welfare and minimization of CO2 emission. Cross regional transmission constraint is modeled in terms of energy approximately by applying the transmission limitation to the historical renewable generation in the sending region. The genetic algorithm (GA) is applied to solve the proposed model. Case study using practical system data is performed to verify the effectiveness of the model. Study results indicate that compared with the single-objective models, the multi-objective model is more instructive to the actual power generation rights trading.