Multi-Attribute Decision Making Model For Customer Economic Evaluation And Selection In Opening Electricity Market

Since the beginning of new electricity market reform,driven by huge profits of electricity market,competition between electricity retailers becomes increasingly intense.There is a crucial need for a method for prioritizing customers to increase competitiveness of electricity retailers and thereby ensure a healthy and orderly electricity market.However,study on power customer evaluation has not obtained enough attention that it deserves.This paper establishes a customer evaluation model based on multi-attribute decision method,the model includes three parts.Firstly,an evaluation index system for prioritizing power customers is developed based on key factors affecting the assessment.Secondly,a comprehensive weighting method is proposed to calculate index weights and it supplies exact weights for power customers' sorting.Then,an improved sorting strategy based on improved technique for order preference by similarity to ideal solution is presented to provide distinct customer prioritizing strategies for electricity retailers at different market development stages.The content of study as follows.Firstly,the evaluation index system for prioritizing power customers is developed based on the basic principles of designing evaluation index system,to reflect opinions of experts and demands of electricity retailers.Then,this paper introduces the specific meanings of the evaluation indexes from the perspectives of profit-making,customers'loyalty and risk-selling,and gives the suggestions on how to obtain the evaluation data.And based on the product life cycle theory and the relevant documents of the electricity market,the electricity market is divided into three stages from the aspects of the number of electricity retailers,trading methods and so on.Secondly,a weighting method based on the principle of minimum information entropy is proposed to calculate evaluation index's comprehensive weights including subjective and objective information.On the subjective information side,considering the judgment matrix dimension and the calculation accuracy,this paper calculates index's objective weights by AHP,On the objective information side,considering the entropy value is close to 1,this method adopts improved entropy method contained modified weights to calculate objective weight.Exact index's comprehensive weights are calculated by this weighting method and it's an essential part of next customer prioritizing strategies.Finally,to avoid shortage of technique for order preference by similarity to ideal solution,an improved sorting strategy using absolute ideal solution and vertical projection distance is proposed.And a case study is conducted for different development stages of electricity market.Results show distinct customer prioritizing strategies at different market development stages.