Lexicographical buyer-seller profile matching in pool based electricity market

In electricity markets, the transparency in deriving every individuals financial settlements is much desired feature. One way is to establish a buyer-seller relationship, i.e. notionally, who is producing for whom? Therefore, this paper proposes a mixed integer linear programming (MILP) model for lexicographical buyer-seller profile matching in pool based electricity market. The proposed mathematical model encircles around two crucial ideas: microeconomics and macroeconomics and attains equilibrium between market operators (MO) and individuals. The efficacy of the proposed model is validated on a test system.

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