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Decarbonization of power systems plays a crucial role in achieving carbonneutral goals across the globe, but there exists a sharp contradiction betweenthe emission reduction and levelized generation cost. Therefore, it is of greatimportance for power system operators to take economic as well as low-carbonfactors into account. This paper establishes a low-carbon economic dispatchmodel of bulk power systems based on Nash bargaining game, which derives a Nashbargaining solution making a reasonable trade-off between economic andlow-carbon objectives. Because the Nash bargaining solution satisfies Paretoeffectiveness, we analyze the computational complexity of Pareto frontiers withparametric linear programming and interpret the inefficiency of the method.Instead, we assign a group of dynamic weights in the objective function of theproposed low-carbon economic dispatch model so as to improve the computationalefficiency by decoupling time periods and avoiding the complete computation ofPareto frontiers. In the end, we validate the proposed model and the algorithmby a realistic nationwide simulation in mainland China.

Low-Carbon Economic Dispatch of Bulk Power Systems Using Nash Bargaining Game