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Several autonomous energy management and peer-to-peer trading mechanisms for future energy markets have been recently proposed based on optimization and game theory. In this paper, we study the impact of trading prices on the outcome of…

Systems and Control · Electrical Eng. & Systems 2023-02-10 Varsha Behrunani , Andrew Irvine , Giuseppe Belgioioso , Philipp Heer , John Lygeros , Florian Dörfler

We propose a method to design a decentralized energy market which guarantees individual rationality (IR) in expectation, in the presence of system-level grid constraints. We formulate the market as a welfare maximization problem subject to…

Computational Engineering, Finance, and Science · Computer Science 2018-07-23 Lorenzo Nespoli , Matteo Salani , Vasco Medici

Electricity markets typically operate in two stages, day-ahead and real-time. Despite best efforts striving efficiency, evidence of price manipulation has called for system-level market power mitigation (MPM) initiatives that substitute…

Optimization and Control · Mathematics 2023-08-11 Rajni Kant Bansal , Yue Chen , Pengcheng You , Enrique Mallada

The modelling of modern power markets requires the representation of the following main features: (i) a stochastic dynamic decision process, with uncertainties related to renewable production and fuel costs, among others; and (ii) a…

Optimization and Control · Mathematics 2019-10-10 Joaquim Dias Garcia , Raphael Chabar

We study the robust Nash equilibrium (RNE) for a class of games in communications systems and networks where the impact of users on each other is an additive function of their strategies. Each user measures this impact, which may be…

Computer Science and Game Theory · Computer Science 2011-09-21 Saeedeh Parsaeefard , Ahmad R. Sharafat , Mihaela van der Schaar

Principal agent games are a growing area of research which focuses on the optimal behaviour of a principal and an agent, with the former contracting work from the latter, in return for providing a monetary award. While this field…

Mathematical Finance · Quantitative Finance 2022-06-28 Dena Firoozi , Arvind V Shrivats , Sebastian Jaimungal

The design of energy markets is a subject of ongoing debate, particularly concerning the choice between the widely adopted Pay-as-Clear (PC) pricing mechanism and the alternative Pay-as-Bid (PB). These mechanisms determine how energy…

Computer Science and Game Theory · Computer Science 2025-07-09 Ioannis Caragiannis , Zhile Jiang , Stratis Skoulakis

The coordinated operation of interconnected but locally controlled electricity markets is generally referred to as a "coupling". In this paper we propose a new mechanism design for efficient coupling of independent electricity markets. The…

Optimization and Control · Mathematics 2021-01-13 Alfredo Garcia , Roohallah Khatami , Ceyhun Eksin , Furkan Sezer

In game theory, mechanism design is concerned with the design of incentives so that a desired outcome of the game can be achieved. In this paper, we explore the concept of equilibrium design, where incentives are designed to obtain a…

Logic in Computer Science · Computer Science 2024-12-18 Julian Gutierrez , Muhammad Najib , Giuseppe Perelli , Michael Wooldridge

Network-based systems are inherently interconnected, with the design and performance of subnetworks being interdependent. However, the decisions of self-interested operators may lead to suboptimal outcomes for users and the overall system.…

Systems and Control · Electrical Eng. & Systems 2026-02-11 Mingjia He , Andrea Censi , Runyu Zhang , Emilio Frazzoli , Gioele Zardini

A Nash Equilibrium (NE) is a strategy profile resilient to unilateral deviations, and is predominantly used in the analysis of multiagent systems. A downside of NE is that it is not necessarily stable against deviations by coalitions. Yet,…

Computer Science and Game Theory · Computer Science 2014-01-16 Michal Feldman , Tami Tamir

Exchange markets are a significant type of market economy, in which each agent holds a budget and certain (divisible) resources available for trading. Most research on equilibrium in exchange economies is based on an environment of…

Computer Science and Game Theory · Computer Science 2024-10-10 Yusen Zheng , Yukun Cheng , Chenyang Xu , Xiaotie Deng

Traditionally, most consumers of electricity pay for their consumptions according to a fixed rate. With the advancement of Smart Grid technologies, large-scale implementation of variable-rate metering becomes more practical. As a result,…

Computer Science and Game Theory · Computer Science 2011-06-14 Tarun Agarwal , Shuguang Cui

This paper considers the problem of Nash equilibrium (NE) seeking in aggregative games, where the payoff function of each player depends on an aggregate of all players' actions. We present a distributed continuous time algorithm such that…

Optimization and Control · Mathematics 2019-11-04 Mehran Shakarami , Claudio De Persis , Nima Monshizadeh

In contrast with existing works which rely on the same type of energy-efficiency measure to design distributed power control policies, the present work takes into account the presence of a finite packet buffer at the transmitter side and…

Networking and Internet Architecture · Computer Science 2016-11-17 Vineeth S. Varma , Samson Lasaulce , Yezekael Hayel , Salah Eddine Elayoubi

In this paper, we propose a bilateral peer-to-peer (P2P) energy trading scheme under single-contract and multi-contract market setups, both as an assignment game, and a special class of coalitional games. {The proposed market formulation…

Computer Science and Game Theory · Computer Science 2023-01-31 Aitazaz Ali Raja , Sergio Grammatico

In this paper, we examine in an abstract framework, how a tradeoff between efficiency and robustness arises in different dynamic oligopolistic market architectures. We consider a market in which there is a monopolistic resource provider and…

Systems and Control · Computer Science 2013-10-02 Qingqing Huang , Mardavij Roozbehani , Munther A Dahleh

Efficiently accommodating uncertain renewable resources in wholesale electricity markets is among the foremost priorities of market regulators in the US, UK and EU nations. However, existing deterministic market designs fail to internalize…

Systems and Control · Electrical Eng. & Systems 2019-12-19 Yury Dvorkin

Electric storage units constitute a key element in the emerging smart grid system. In this paper, the interactions and energy trading decisions of a number of geographically distributed storage units are studied using a novel framework…

Computer Science and Game Theory · Computer Science 2013-10-08 Yunpeng Wang , Walid Saad , Zhu Han , H. Vincent Poor , Tamer Başar

The aggregation of conflicting preferences is a central problem in multiagent systems. The key difficulty is that the agents may report their preferences insincerely. Mechanism design is the art of designing the rules of the game so that…

Computer Science and Game Theory · Computer Science 2014-08-08 Vincent Conitzer , Tuomas Sandholm