Research on Pricing and Market Competitiveness of Electricity Retailers under New Strategy of Electric Power System Reformation

This paper studied the pricing and market competitiveness of different electricity retailers under New Strategy of Electric Power System Reformation (NSEPSR). Firstly, based on the analysis of the types and characteristics of the existing electricity retailers, the pricing model of all kinds of electricity retailers was constructed based on the Bertrand model. The equilibrium solution was the reasonable pricing of the retailer. Secondly, the user utility model was constructed by using the analytic hierarchy process (AHP), and the Logit model was used to simulate the probability of the selection of different electricity retailers. The market share of all kinds of electricity retailers in the open market environment was obtained. The feasibility of the proposed model was verified by practical examples. The conclusion could provide a theoretical reference for the market operation strategy of the electricity retailer under the reform of power system.