Modelling Analysis of Virtual Power Plant to Enhance Energy Trading in Electricity Market Considering Green Certificate Trading Mechanism

In response to the energy crisis and increasing emissions, the Chinese government has set stringent emission reduction targets and mandatory renewable energy goals. As an effective means to integrate distributed resources, Virtual Power Plants (VPP) can enhance the efficiency of renewable energy utilization. To fully leverage the electricity market, it is essential to continuously optimize the effective incentive mechanism of Green Electricity Certificates (GEC) to promote renewable energy revenue. This paper develops a VPP model to analyze the impact of quota ratios, green certificate prices, and renewable energy installed capacity on the income of market participants under various market conditions. The results show that increasing the Renewable Portfolio Standard (RPS) and setting rational GEC prices can provide better revenue expectations for renewable energy generators, while increasing installed renewable energy capacity can further enhance the utilization of renewable energy.