Strategy of Power Retailer Considering the Deviation Penalty

At present, almost all papers assumes that the market includes medium and long-term power contract transactions and spot markets (including day-ahead and real-time markets), and then discusses various possible strategies of retail companies on this basis. However, the actual situation in China only includes the medium and long-term electricity market, and the electricity sales company’s electricity deviation assessment has also been carried out. Facing the actual market conditions in China, how to conduct effective management is a problem that must be taken seriously. Based on the actual situation in China, this paper constructs a decision-making model, and conducts an in-depth study on the risk decision making of retail electricity companies through the calculation results of the model.