Design and Simulation of Peer-to-Peer Energy Trading Framework with Dynamic Electricity Price

Peer-to-Peer (P2P) market scheme enables the individual participant to trade surplus electricity generated by rooftop photovoltaic (PV) with their neighbors. It is an effective way to manage distributed generation (DG) and promote demand response. In this paper, we proposed a P2P trading framework with consideration of the dynamic retail electricity price for the first time. The prosumers can use the decision-making model proposed in this framework to automatically generate bids and participate in the auction in the P2P market. Simulation has been built in MATLAB to evaluate the performance of three pricing models: Double Auction (DA), Mid-Market Rate (MMR) and Supply and Demand Ratio (SDR). Simulation results show that P2P energy trading can bring economic and technical benefits to participants. It is also able to improve the local balance of energy generation and consumption.