Research On Generation Rights Trade Based On Carbon Trading Mechanism

In resent years,the problem of air pollution caused by greenhouse gas emissions has attracted great attention all over the world.Carbon trading is an innovative market mechanism for governments to control air pollution and address climate change and widely recognized around the world.Since 2011,China began to explore the construction of carbon trading pilot,and now the development of carbon trading is imperative.Generation rights trade as a transition from planned mechanism to market mechanism in China's power industry is also an effective means to achieve energy saving and emission reduction.For that reason,this paper deal with the problem of generation rights trade based on carbon trading mechanism.The main points of the reseach include the following three aspects:(1)According to the carbon emissions factors,generator units are classified into two categories: high and low emission units.A Cournot game model is established based on the allocation policy and its analytical solution is given.On this basis,the influence of electricity generation,carbon emissions and market price about different carbon emissions factors are researched.Model analysis show that,the quota allocation policy focusing on the low emission units has a stronger incentive utility,it would better protect low emission units in the promise of reducing emissions and promote the units to carry out low carbon technology transformation.(2)In the carbon trading policy,two kinds of mechanism which is called reduction increment income sharing mechanism and reduction investment cost sharing mechanism is proposed.Based on the bilateral trading system of generation rights,a generation rights trade model based on the maximum net profit of the both sides is established to analyze the optimal abatement levels and the profit changes of the two sides.The results show that the optimal abatement levels are enhanced in varying degrees under the two kinds of contract and the two sides' profit of generation rights trade will be increased.(3)Constructing the portfolio trading model of generation rights and carbon emission rights and leading the green certificate trading mechanism into the portfolio trading model.Considering generation right transaction only take place within the system,a model based on the maximum net profit of the system is established.The result shows that the case with consideration carbon trading and green certificate trading can significantly improve the trading efficiency and enhance the initiative of generators to participate in the transaction.In addition an incremental profit distribution model based on transaction quantity is proposed.The model will further stimulate the enthusiasm of the power generation enterprises to participate in the generation rights trade.