Optimizing Prosumer Policies in Periodic Double Auctions Inspired by Equilibrium Analysis (Extended Version)

Fuente: arXiv
Guardado en:
Detalles Bibliográficos
Autores principales: Manvi, Bharat, Chandlekar, Sanjay, Subramanian, Easwar
Formato: Preprint
Publicado: 2024
Materias:
Acceso en línea:
Etiquetas: Agregar Etiqueta
Sin Etiquetas, Sea el primero en etiquetar este registro!
_version_ 1866911870462459904
author Manvi, Bharat
Chandlekar, Sanjay
Subramanian, Easwar
author_facet Manvi, Bharat
Chandlekar, Sanjay
Subramanian, Easwar
contents We consider a periodic double auction (PDA) wherein the main participants are wholesale suppliers and brokers representing retailers. The suppliers are represented by a composite supply curve and the brokers are represented by individual bids. Additionally, the brokers can participate in small-scale selling by placing individual asks; hence, they act as prosumers. Specifically, in a PDA, the prosumers who are net buyers have multiple opportunities to buy or sell multiple units of a commodity with the aim of minimizing the cost of buying across multiple rounds of the PDA. Formulating optimal bidding strategies for such a PDA setting involves planning across current and future rounds while considering the bidding strategies of other agents. In this work, we propose Markov perfect Nash equilibrium (MPNE) policies for a setup where multiple prosumers with knowledge of the composite supply curve compete to procure commodities. Thereafter, the MPNE policies are used to develop an algorithm called MPNE-BBS for the case wherein the prosumers need to re-construct an approximate composite supply curve using past auction information. The efficacy of the proposed algorithm is demonstrated on the PowerTAC wholesale market simulator against several baselines and state-of-the-art bidding policies.
format Preprint
id arxiv_https___arxiv_org_abs_2405_04125
institution arXiv
publishDate 2024
record_format arxiv
spellingShingle Optimizing Prosumer Policies in Periodic Double Auctions Inspired by Equilibrium Analysis (Extended Version)
Manvi, Bharat
Chandlekar, Sanjay
Subramanian, Easwar
Systems and Control
Computer Science and Game Theory
We consider a periodic double auction (PDA) wherein the main participants are wholesale suppliers and brokers representing retailers. The suppliers are represented by a composite supply curve and the brokers are represented by individual bids. Additionally, the brokers can participate in small-scale selling by placing individual asks; hence, they act as prosumers. Specifically, in a PDA, the prosumers who are net buyers have multiple opportunities to buy or sell multiple units of a commodity with the aim of minimizing the cost of buying across multiple rounds of the PDA. Formulating optimal bidding strategies for such a PDA setting involves planning across current and future rounds while considering the bidding strategies of other agents. In this work, we propose Markov perfect Nash equilibrium (MPNE) policies for a setup where multiple prosumers with knowledge of the composite supply curve compete to procure commodities. Thereafter, the MPNE policies are used to develop an algorithm called MPNE-BBS for the case wherein the prosumers need to re-construct an approximate composite supply curve using past auction information. The efficacy of the proposed algorithm is demonstrated on the PowerTAC wholesale market simulator against several baselines and state-of-the-art bidding policies.
title Optimizing Prosumer Policies in Periodic Double Auctions Inspired by Equilibrium Analysis (Extended Version)
topic Systems and Control
Computer Science and Game Theory
url https://arxiv.org/abs/2405.04125