energies

Article
Economic Pricing in Peer-to-Peer Electrical Trading for a
Sustainable Electricity Supply Chain Industry in Thailand
Adisorn Leelasantitham, Thammavich Wongsamerchue and Yod Sukamongkol *

Technology of Information System Management Division, Faculty of Engineering, Mahidol University, 25/25
Phutthamonthon Sai 4 Road, Salaya, Phutthamonthon, Nakhon Pathom 73170, Thailand;
[email protected] (A.L.); [email protected] (T.W.)
* Correspondence: [email protected]

Abstract: The state-owned power Electricity Generating Authority of Thailand (EGAT), a monopoly
market in charge of producing, distributing, and wholesaling power, is the focal point of Thailand’s
electricity market. Although the government has encouraged people to install on-grid solar panels to
sell electricity as producers and retail consumers, the price mechanism, i.e., purchasing price and
selling prices, is still unilaterally determined by the government. Therefore, we are interested in
studying the case where blockchain can be used as a free trading platform. Without involving buying
or selling from the government, this research presents a model of fully traded price mechanisms.
Based on the study results of the double auction system, data on buying and selling prices of electrical
energy in Thailand were used as the initial data for the electricity peer-to-peer free-trading model.
Then, information was obtained to analyze the trading price trends by using the law of demand and
supply in addition to the principle of the bipartite graph. The price trend results agree well with
those of price equilibrium equations. Therefore, we firmly believe that the model we offer can be
traded in a closed system of free-trade platforms. In addition, the players in the system can help to
determine the price trend that will occur according to various parameters and will cause true fairness
in the sustainable electricity supply chain industry in Thailand.

Keywords: peer-to-peer; electrical trading; economic pricing; pricing mechanism; sustainable

Citation: Leelasantitham, A.;

Wongsamerchue, T.; Sukamongkol, Y.
Economic Pricing in Peer-to-Peer 1. Introduction
Electrical Trading for a Sustainable Over the last three decades, energy production and transmission along the trans-
Electricity Supply Chain Industry in mission line were the responsibility of the Electricity Generating Authority of Thailand
Thailand. Energies 2024, 17, 1220.
(EGAT). The electricity was then distributed and retailed to residential, commercial, and
https://doi.org/10.3390/en17051220
industrial electricity users by the Provincial Electricity Authority (PEA) and the Metropoli-
Academic Editor: Yuji Yamada tan Electricity Authority (MEA). In the mid-to-late 1990s, to address the rising demand
for electricity, Independent Power Producer (IPP), Small Power Producer (SPP), and Very
Received: 8 January 2024
Small Power Producer (VSPP) programs were established. Their primary objective was to
Revised: 7 February 2024
assist in lowering the EGAT’s investment burden and reducing the total cost of electricity
Accepted: 16 February 2024
generation to levels below public sector generation costs. However, all of the generated
Published: 4 March 2024
electrical energy from the IPPs, SPPs, and VSPPs must be fed into the EGAT as an enhanced
single buyer (ESB), which is a centralized system. This system has been operating in this
manner until now.
Copyright: © 2024 by the authors. In addition, the Energy Regulatory Commission (ERC) was established on 1 February
Licensee MDPI, Basel, Switzerland. 2008 [1]. The regulatory organization is in charge of regulating the energy industry, which
This article is an open access article includes gas and electricity. Actually, it is anticipated that an independent regulatory body
distributed under the terms and will contribute to greater accessibility, reliability, and public involvement in the energy
conditions of the Creative Commons sector. Figure 1 illustrates the current structure of the Thai electricity industry [2].
Attribution (CC BY) license (https://
creativecommons.org/licenses/by/
4.0/).

Energies 2024, 17, 1220. https://doi.org/10.3390/en17051220 https://www.mdpi.com/journal/energies

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Figure 1.
Figure 1. The
The current
current structure
structureof
ofthe
theThai
Thaielectricity
electricityindustry.
industry.

One of
One of the
the responsibilities
responsibilitiesofofthe
the ERC
ERC isis to
to regulate
regulate the
the electrical
electrical energy
energy price
price that
that the
the
EGAT will pay for each producer. The electrical energy pricing rate depends
EGAT will pay for each producer. The electrical energy pricing rate depends on the energy on the energy
sourcefor
source forgenerating
generatingelectricity
electricity such
such as as natural
natural gas,gas,
coal,coal,
and and renewable
renewable energy.
energy. Nor-
Normally,
mally,
the the cost
energy energy cost generated
generated from renewable
from renewable energy,
energy, i.e., i.e., solar,
solar, wind, wind, or
or biomass, is biomass,
lower than is
that generated
lower than that from fuel, trash,
generated fromor fuel,
industrial
trash,waste. Therefore,
or industrial the ERC
waste. has announced
Therefore, the ERC thehas
purchasing
announced price of electricalprice
the purchasing energy as summarized
of electrical energy in
as Table 1 [3]. in Table 1 [3].
summarized

Table1.1. EGAT’s
Table EGAT’s electrical
electrical energy
energy purchasing
purchasingprice.
price.

EnergySource
Energy Source UnitPrice
Unit Price(Baht/kWh)
(Baht/kWh)
Solar
Solar Energy
Energy
Rooftop
Rooftop 2.20
2.20
On ground
On ground 2.16
2.16
Wind
Wind Energy
Energy 3.10
3.10
Waste
Waste
VSPP
VSPP 5.08
5.08
SPP
SPP 3.66
3.66
Biomass
Biomass 2.79
2.79
Biogas
Biogas 3.57
3.57

Onthe
On theother
otherhand,
hand,the the
PEAPEA and
and thethe MEA,
MEA, who who distribute
distribute electricity
electricity to consumers,
to consumers, also
also gather electrical energy fees. The current electrical energy tariff for
gather electrical energy fees. The current electrical energy tariff for selling to residential selling to residen-
tial consumers
consumers is a ladder
is a ladder methodmethod [4]. more
[4]. The The more electricity
electricity that isthat is used,
used, the morethe more billsmust
bills that that
must be paid. Electricity tariffs are classified into two groups, namely,
be paid. Electricity tariffs are classified into two groups, namely, those who consume no those who consume
no more
more than than
400400 units
units perper month
month andand those
those whowho use
use morethan
more than400400units
unitsperpermonth.
month. TheThe
electricity tariff
electricity tariff information
information isisshown
shownin inTable
Table2.2.
Nevertheless, in recent years, the establishment
Nevertheless, in recent years, the establishment of of small-scale
small-scale distributed
distributed generation
generation
systems from solar energy and wind energy has taken place
systems from solar energy and wind energy has taken place rapidly. In many nations, rapidly. In many nations,
including Thailand, prosumers are becoming more and more popular
including Thailand, prosumers are becoming more and more popular as both producers and as both producers
and consumers
consumers of electrical
of electrical energy.energy. Additionally,
Additionally, a new paradigm
a new paradigm has been has been introduced
introduced known
known
as as peer-to-peer
peer-to-peer (P2P) electrical
(P2P) electrical energy trading,
energy trading, in which inlocal
which local prosumers
prosumers and con-
and consumers
sumers
can tradecan trade electricity
electricity with one with oneThus,
another. another.P2PThus,
energy P2P
freeenergy free
trade is trade isincurrently
currently its infancy in
itsThailand.
in infancy inHowever,
Thailand.from However,
the abovefrominformation,
the above information,
it is obviouslyit isseen
obviously seen that
that Thailand’s
Thailand’smarket
electricity electricity market
is still is still
with the ESB, with
where the the
ESB, where the
electrical electrical
energy energyrate
purchasing purchasing
is fixed,
rate isthe
while fixed, while the
electrical electrical
energy sellingenergy
rate is selling
varied rate
dueis to
varied due to price,
the ladder the ladder
which price,
leadswhich
to a
leads
1–2 to ahigher
times 1–2 times higher purchasing
purchasing price for renewable
price for renewable energy. energy.
Energies 2024, 17, 1220 3 of 19

Table 2. PEA and MEA electrical energy selling price (ladder method).

Unit Price Monthly Fee Average Unit Price with

Consumer Type No. Unit Range
(THB/kWh) (THB) Monthly Fee (THB)
1.1 1–15 2.3488 8.19 2.5417
1.2 16–25 2.9882 8.19 3.3689
1.3 26–35 3.2405 8.19 3.6464
Group 1 1.4 36–100 3.6237 8.19 3.6813
<150 kWh/Month
1.5 101–150 3.7171 8.19 3.7947
1.6 151–400 4.2218 8.19 4.2388
1.7 More than 400 4.4217 8.19 4.4661
2.1 1–150 3.2484 38.22 3.2717
Group 2
2.2 151–400 4.2218 38.22 4.2392
>150 kWh/Month
2.3 More than 400 4.4217 38.22 4.5172

As mentioned above, the consumer electrical energy expense is about 1–2 times
higher than the selling income from renewable energy, especially from solar energy. The
price difference may result from operating costs, management costs, maintenance costs,
administrative costs, and other overhead profits that are formed to be the structure of
electricity costs in Thailand, as presented by Leelasantitham [2]. For the genuine equity
and sustainability of all parties involved in Thailand’s electrical energy trade, the objective
of this study is to develop a model of fully free-trade price mechanisms where a blockchain
can be used as a peer-to-peer free-trading platform.
Moreover, the main contribution of this paper is its minimization of the previous
research gaps, which will be discussed in Section 2, by developing the P2P energy trading
model based on the mix of the double-auction technique, pricing optimization, the demand
and supply economic law, and bipartite graph theory. Then, the benefits of the practical
implications to the economic pricing in the P2P electrical trading for the Sustainable
Electricity Supply Chain Industry (SESCI) in Thailand are presented in Section 6.
Additionally, the scope of this study is narrow and clear. Attention is paid to the
buying and selling of electrical energy rates from renewable energy only. According to the
previous study results of the double auction system [5], randomly simulating the generated
and the consumed electrical energy data of four houses, consumers, and prosumers, are
used as the initial data along with the buying and the selling prices of electrical energy. At
that time, the procedures replicate the data re-established with the sale of N houses in the
form of a double auction, then, the results are obtained to analyze the trading price trends
by using the law of demand and supply in addition to the principle of the bipartite graph.

2. Related Work/Literature Review

2.1. P2P Energy Trading
According to the emerging trends in digitalization, de-centralization, and the con-
cept of the sharing economy, P2P energy trading is a type of local energy trading where
prosumers can directly exchange extra energy with their neighbors, individuals, or local
communities’ energy consumers [2]. In P2P trading, a peer can be a single energy user or a
collection of users, such as producers and prosumers. A group of energy users can exist on
a variety of scales, such as a single family, a community, or a local distribution network. In
addition, through reduced peak demand, lower capital and operating costs, and increased
power system reliability, grid distribution system operators can also profit from this model,
which can encourage the use of renewable energy in communities like cooperatives, where
residents can benefit collectively from photovoltaic (PV) solar rooftop systems.
Furthermore, in the context of the current energy markets, the P2P model has the
ability to alter some existing roles, resulting in the formation of new roles, brokers, and
Energies 2024, 17, 1220 4 of 19

representatives in future P2P trades. With the recent advancements in decentralized

blockchain technology (BT), distributed ledger technologies are being used to introduce
transaction security in peer-to-peer energy trading. With the use of a consensus algorithm,
like the Proof-of-Work (PoW), Proof-of-Stake (PoS), or Proof-of-Authority (PoA) algorithm,
BT can be applied to P2P transactions in a way that ensures security, transparency, and
unchangeable records without the need for a central authority. These characteristics of BT
make it a suitable candidate for implementing P2P trading in the electricity market. In fact,
this technology has been applied and established in various areas in many countries and
has also been demonstrated in many studies.
P2P electricity trading has been established to be a viable way to promote and manage
proliferated prosumers in distribution systems through a significant amount of research
and pilot programs. Table 3 shows a short summary of the related research works on energy
trading platforms that used blockchain technology. It is obvious that some researchers
studied an electrical energy trading scenario on local distribution networks and micro-
grids [6–12] with various methods such as game theory and double auction trade to set
P2P energy trading platforms [5,13–15], whilst others used case studies to prove their
hypotheses and frameworks [5,16,17]. However, there were some limitations such as the
exclusion of certain information from their works about prosumer trade confidentiality,
economic conditions, and pricing optimization.

Table 3. Related research works on energy trading platforms.

Researchers Highlights Methods Results Limitations

Double auction
Wongsamerchue et al. [5] Double auction Case study Four-peer case study
prepaid-trading
Remote area; no pricing
Baig et al. [6] Microgrid energy markets Implementation Trading platform
optimization
Neighborhood energy
Bandara et al. [7] Double auction Trading algorithm No pricing optimization
trading
Needs smart meter and
Khorasany et al. [8] Participation of prosumers Proof of location Cost reduction by 17.09%
pricing model
Park et al. [9] Building suitability Building capability guidelines Energy management
No pricing optimization o
Huang et al. [10] Energy trading model ADMM Decrease 5.11%
confidential trade
No technical details
Wongthongtham et al. [11] Increasing scalability Scalability Scalability Implementation and
pricing mechanism
Dorahaki et al. [12] Energy trading model Discount impact Satisfaction of user Only win–win situation
Hu et al. [13] High level of efficiency Maximize profits Power sharing Pricing optimization
Considering physical Not Include Economic
Leong et al. [14] Game theory Bidding strategy
constraints Pricing
Uncertain prosumer
Esmat et al. [15] Ant colony optimization Ant colony Efficient market solution
commitment
Balancing supply and No pricing optimizatoin
Mengelkamp et al. [16] Framework Case study
demand or confidential trade
Energy trading with Hourly based trading; no
Umar et al. [17] Framework Self-sustainability
battery storage auction mechanism
No auction or pricing
Zeng et al. [18] Model for investment Logistic classification Higher efficiency
optimization
Anonymous proof of
Khorasany et al. [19] Distribution system Lightweight FW No pricing mechanism
location
Small-sized prosume; no
Azim et al. [20] Voltage regulation Coalition game Feasibility
pricing optimizatoin

For this study, a blockchain-based business model guideline for Thai electrical utility
systems, as provided by Leelasantitham [2], was also utilized in the BT double-auction
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For this study, a blockchain-based business model guideline for Thai electrical utility
systems, as provided by Leelasantitham [2], was also utilized in the BT double-auction
prepaid electricity
prepaid electricity trading
trading platform
platform [5,21].
[5,21]. The
The case study found
case study found that
that P2P
P2P transactions
transactions
were direct purchases between the electricity producers and the consumers,
were direct purchases between the electricity producers and the consumers, which led which led to
to
fewer operating steps and reduced electrical energy costs in the network.
fewer operating steps and reduced electrical energy costs in the network. The structure The structure of
thethe
of electricity trading
electricity trading industry
industry presented
presentedininthat
thatresearch
researchisisshown
shownin in Figure
Figure 2.2. For the
For the
double-auction trading platform, in competitions for both bidders and sellers,
double-auction trading platform, in competitions for both bidders and sellers, in the case of in the case
of an
an offeror,
offeror, the the highest
highest bidder
bidder will will
matchmatch
eacheach
other.other.
OnceOnce the winner’s
the winner’s price price is deter-
is determined,
mined, the seller who offers the fastest bid will win the auction. In that
the seller who offers the fastest bid will win the auction. In that research, a four-house research, a four-
house model was used to represent the consumers and the prosumers
model was used to represent the consumers and the prosumers in the P2P trading system in the P2P trading
system network,
network, as shown as in
shown
Figure in3.Figure 3.

Figure 2. Decentralized trading

Figure 2. trading structure
structure model
model [2].
[2].

Figure 3.
Figure 3. The
The 4-house P2P electrical
4-house P2P electrical energy
energy trading
trading model
model [5].
[5].

As
As mentioned above, one
mentioned above, one of
of the
the gaps
gaps in
in the
the related
related studies
studies is
is pricing
pricing optimization.
optimization.
Thus,
Thus, the
the pricing
pricing optimizations
optimizations for
for energy
energy trading
trading were also reviewed,
were also reviewed, and
and their
their summary
summary
is provided in Table 4. Some studies used the optimization approach to prevent
is provided in Table 4. Some studies used the optimization approach to prevent energy energy loss
for the suppliers, including power balance and energy management systems [22–24].
loss for the suppliers, including power balance and energy management systems [22–24]. The
others usedused
The others the profit maximization
the profit algorithm
maximization (PMA)
algorithm to increase
(PMA) productivity
to increase alongalong
productivity with
increasing profits for the electricity producers [21,25–27]. According to their results, it can
be seen that, in the near future, the free trading market for electricity trading may open,
and the energy trading market may shift from ESB to P2P energy trading.
Energies 2024, 17, 1220 6 of 19

Table 4. Related research works on pricing optimization.

Researchers Highlights Methods Results Limitations

Single side auction
PankiRaj et al. [21] Profit maximization Sealed bid auction High profit return with no confidential
condition
Accuracy and efficiency
López-García et al. [22] Power balance in grid Splitting the energy Scalability
of devices
Energy trading and Need to develop
Han et al. [23] Balancing profits Efficiency
management platform
Energy management Only smart home
Görgülü et al. [24] Priority matching Domestic models
system applied
Profile of loan and No upper and lower
Liu et al. [25] P2P lending Effectiveness
lender limit price
Finance decisions and Deterministic demand
Taleizadeh et al. [26] P2P lending Optimal strategies
strategies and financial SC
No auctionor
Optimal bidding
Zhou et al. [27] Residual balancing Critically reviewed confidential
strategy
mechanism
Carbon emission Single-step trading
Kong et al. [28] Fuzzy optimization Fuzzy sets
reducion of 61% mechanism
No auction or
Congestion
Zhou et al. [29] Cost allocation Profit increase confidential
management
mechanism
No auction and
Mechanism for
Chen et al. [30] IMMGS Effectiveness confidential
dynamic multi-energy
mechanism
Kanakadhurga et al. Demand Confidential trading
Particle swarm Cost reduction
[31] response-based P2P needed
P2P lending issues in
Suryono et al. [32] None Solutions Literature review
Indonesia
Xu et al. [33] Auction mechanism AMSA Saving costs Uniform clearing price

2.2. Demand and Supply Theory

The idea that supplies and demands interact to determine prices is known as the law
of supply and demand. It is predicated on the law of supply and the law of demand, which
are two other economic laws [8,34]. While the law of demand claims that when prices
rise, consumers buy fewer products and services, the law of supply asserts that when
prices rise, companies see higher profit margins and increase their supplies of goods and
services. These suggest that prices will decrease when there is a surplus of items or services
compared with demand, and prices are likely to increase when demand surpasses supply.
Theoretically, as supply and demand converge, a free market should aim for an equilibrium
quantity and price. Supply and demand prices are exactly equal at that point. This means
suppliers meet their clients’ demands by producing just enough items or services at the
appropriate cost. In regard to P2P power trading, this equilibrium point was discovered in
this study. Table 5 presents the related research works on the pricing model in which the
law of supply and demand was applied.
Corresponding to the demand response based on real-time prices, some studies imple-
mented P2P energy trading in smart homes, which minimized consumers’ electricity costs
because of reduced wastage and management of the supply and demand of electricity in the
microgrids [31]. Allowing for a reduction in the maximum net load, the results of one study
showed that offline processing was as fast as online processing [35]. A dynamic supplier
price setting was used to write smart contracts using BT along with an energy management
Energies 2024, 17, 1220 7 of 19

system model to increase the efficiency of sky usage cost-effectively. The study [36] found
that electricity bills could be reduced by as much as 44.73%. It was also found that electricity
costs could be reduced by 51.80% when using the scheduling algorithm.

Table 5. Related research works on the pricing model.

Energies 2024, 17, x FOR PEER REVIEW 7 of 19
Researchers Highlights Methods Results Limitations
Lin et al. [34] Bidding strategies Demand and supply k-double auction Benefit contribution
Zheng et al. [35] also found
Residential that electricity
sharing costs
Content could be reduced
filtering by 51.80%
Reduced costs whenLimited
using the scheduling
energy supply
algorithm.
Smart cyber–physical
Lohachab et al. [37] Hyperledger caliper Scalability Capability of CPS
systems
Table 5. Related research works on the pricing model.
An appropriate trading
An et al. [38] Optimal trading Model application No auction mechanism
Researchers Highlights
price Methods Results Limitations
Lin et al. [34] Bidding strategies Demand and supply k-double auction Benefit
Needcontribution
to develop
Wuet
Zheng etal.
al.[35]
[39] Multi-scale sharing
Residential flexibility Multi-level
Content market
filtering Reduced costs
Reduced costs Limited platform
energy supply
Lohachab
Zhang etet al.
al. [37]
[40] SmartHybrid
cyber–physical
random walksystems Hyperledger
Double auction caliper Scalability
Reducing peak Capability oftrading
Confidential CPS
An et al. [38] An appropriate trading price Optimal trading Model application No auction mechanism
Interative double
Wu et al.
Zhang et[39]
al. [41] Multi-scale flexibility Multi-level
Demand market
and supply Reduced costs
Trading model NeedTwenty
to develop platform
procumers
auction
Zhang et al. [40] Hybrid random walk Double auction Reducing peak Confidential trading
Zhang Noprocumers
pricing
Wuet etal.
al. [41]
[42] Interative
Sharingdouble auction
economy Demand and
Literature supply
review Trading
Pricing model
mechanism Twenty
optimization
Wu et al. [42] Sharing economy Literature review Pricing mechanism No pricing optimization

2.3.
2.3. Bipartite
Bipartite Graph
Graph Theory
Theory
A
A bipartite graph isisaatype
bipartite graph typeofofgraph
graphthat
thatdescribes
describesthetherelationship
relationship between
between twotwo sets
sets of
of data
data such
such that
that there
there areare never
never twotwo adjacent
adjacent vertices
vertices in the
in the samesame
set. set. In other
In other words,
words, this this
is a
is a graph
graph where where
eacheach
edgeedge
joinsjoins a vertex
a vertex from from one
one set toset to another.
another. Generally,
Generally, thisoftype
this type graph of
graph is often used to describe a one-to-one relationship and to solve matching
is often used to describe a one-to-one relationship and to solve matching problems. Some problems.
Some researchers
researchers have bipartite
have used used bipartite
graphgraph
theorytheory to help
to help determine
determine the case
the case of a of a one-to-
one-to-one
one relationship,
relationship, for example,
for example, P2P P2P trading
trading ordouble-auction
or the the double-auction matching
matching platform.
platform.
Some studies
studies presented
presentedaadecision-supporting
decision-supportingmodel modelfor forP2P
P2P lending
lendinginvestment
investment to
help make
to help investment
make investment decisions using
decisions the the
using principles of the
principles of bipartite
the bipartitegraph [36,43].
graph For
[36,43].
simultaneous
For simultaneous recalculation, they they
recalculation, usedused
real data fromfrom
real data America’s largest
America’s P2P lending
largest mar-
P2P lending
ketplace
marketplace to estimate the loans from unknown people. The results of these studies can
to estimate the loans from unknown people. The results of these studies
prove that the model helped the borrowers choose choose good
good loans
loans from
from thethe lenders.
lenders. Similarly,
Similarly,
it helped the loan owners to lend profitably. The bipartite correlation diagrams led to the
calculation of the decision model for the investment; example case studies for selling and
buying are shown in Figures
Figure 44and
andFigure 5, respectively.
5, respectively.

Figure 4. Bipartite
Bipartiterelationship
relationshipininselling. The
selling. The letters S, B,
letters S, and t stand
B, and for selling,
t stand buying,
for selling, and transaction,
buying, and trans-
action, respectively,
respectively, while thewhile the numbers
numbers 1, 2,
1, 2, 3, and 3, and 4 represent
4 represent the housethe houseThe
number. number. The blue,
blue, orange, or-
and green
ange,
colors and greenthe
represent colors represent
matched the matched
transactions from thetransactions from the
seller numbers 1, 2,seller
and 3,numbers 1, 2, and 3,
respectively.
respectively.
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Figure5.5.Bipartite
Figure Bipartiterelationship in buying.
relationship The letters
in buying. S, B, and
The letters S, tB,stand
and for selling,
t stand forbuying, and
selling, buying, a
transaction, respectively, while the numbers 1, 2, 3, and 4 represent the house number.
transaction, respectively, while the numbers 1, 2, 3, and 4 represent the house number. The The blue,
orange,
orange,and andgreen colors
green represent
colors the matched
represent transactions
the matched from the from
transactions buyer the
numbers
buyer1, numbers
2, and 1, 2,
3, respectively.
respectively.
The equation used to calculate the buyer’s confidence, LS, is shown as follows:
The equation used to calculate
m
the buyer’s confidence, LS, is shown as follow
∑ j=1 eij × status j
LSi = m ∑ 𝑒 , i =𝑠𝑡𝑎𝑡𝑢𝑠
1, 2, . . . , n (1)
𝐿𝑆∑ j=1 eij ,𝑖 1, 2, … , 𝑛
∑ 𝑒
The equation used to calculate the seller’s confidence, BS, is shown as follows:
The equation used to calculate
n
the seller’s confidence, BS, is shown as follow
∑i=1 eij × LS j
BSi = , i = 1, 2, . . . , m (2)
∑in=1 eij∑ 𝑒 𝐿𝑆
𝐵𝑆 ,𝑖 1, 2, … , 𝑚
∑ 𝑒purchases; n = the number of sellers;
where statusj = {0, 1}; m = the number of completed
and e = the amount of energy that sellers have sold to buyers.
where statusj = {0, 1}; m = the number of completed purchases; n = the number of
2.4.
andContents
e = theand Contributions
amount of energythat sellers have sold to buyers.
According to the literature review, it is obvious that blockchain technology is suitable
for the P2P electricity trading platform with various pricing mechanisms. However, we do
2.4. Contents and Contributions
not know what the trend will be if the electrical treading market in Thailand is completely
According
free. Thus, to the
this study literature
focuses on thisreview, it both
issue for is obvious thatbuyers
sides, the blockchain
and thetechnology
sellers, is
along
for thewith
P2Pthe electricity
pricing scenarios for the
trading P2P electrical
platform withtrading in Thailand
various pricingtomechanisms.
discover their Howe
sentiment
do not know in thewhat
market.
theBased
trendonwill
the relevant
be if theresearch studies
electrical mentioned
treading above,
market inthe
Thailand
comparative P2P energy trading models, with various techniques and methods, are shared
pletely
in free. Thus, this study focuses on this issue for both sides, the buyers and the
Table 6.
along with the pricing scenarios for the P2P electrical trading in Thailand to discov
Table 6. Comparison
sentiment in theof market.
the results from
Basedother
onresearch studies andresearch
the relevant this work.
studies mentioned ab
comparative P2P energy trading models, Demand with
and various techniques and metho
Benefits and
Trading Auction Pricing Opti- Confidential
Research P2P shared Platform
Energy in Table 6.Method mization
Supply
Trading
Contribution to
Economic Law SESCI
√ √ Therefore,
√ the -primary contributions of this paper to the literature are desc
[6,8,12,13,17–20] - - - -
[5,7,9–11,14,16,27]
√ follows:
√ √ √
- - - -
√ √ √ √ √
[25,26,28–30] (1) In this study, the
- P2P energy trading model, based- on the mix- of the double-
√ √ √ √
[22–24,31] technique, the pricing optimization,- the demand-and-supply
- - - law, and b
√ √ √ √ √
[33,34,38,41]
√
graph theory, is presented
-
√
to minimize
√
the previous
-
√
research gaps. Several N
-
[37,44] - case -
studies - take the responsive demand and the varied numbers
that - of parti
√ √ √ √ √ √ √ √
This work
prosumers into account are carried out in order to demonstrate the efficac
studied model.
(2) After the developed model is conducted and verified, the benefits of the p
implications to the economic pricing in P2P electrical trading for the SESCI
land are explored in terms of the social environment and the economic area.
tion, the SESCI consists of five main processes in the electrical industry, i.e., f
curement, electricity production, electrical transmission system, electricity tr
Energies 2024, 17, 1220 9 of 19

Therefore, the primary contributions of this paper to the literature are described as
follows:
(1) In this study, the P2P energy trading model, based on the mix of the double-auction
technique, the pricing optimization, the demand-and-supply law, and bipartite graph
theory, is presented to minimize the previous research gaps. Several N-house case
studies that take the responsive demand and the varied numbers of participating
prosumers into account are carried out in order to demonstrate the efficacy of the
studied model.
(2) After the developed model is conducted and verified, the benefits of the practical
implications to the economic pricing in P2P electrical trading for the SESCI in Thailand
are explored in terms of the social environment and the economic area. In addition, the
SESCI consists of five main processes in the electrical industry, i.e., fuel procurement,
electricity production, electrical transmission system, electricity transportation in the
distribution system, and electrical retail.

3. Research Methodology
To achieve the objective, the pricing model scenarios for P2P electrical trading in
Thailand were studied in two steps, which were the 4-house P2P trading model and the
N-house P2P trading model.

3.1. The 4-House P2P Trading Model

Wongsamerchue [5] studied the 4-house P2P electricity trading model by using a
simulation model and verified it with the experimental data. The double-auction model
was extended and used in this study along with the supply and demand law to discover the
pricing pattern and the equilibrium price in the free-trade market. The study procedures
are as follows:

3.1.1. Random Price Numbers in Double-Auction Bidding for 4 Houses

To randomize the numbers for this experiment, the randomized function in the Python
computer language program was used to generate random values of the electrical energy
purchasing prices between 0.2 and 5.0 THB/unit, which represent the prices of the electrical
energy generated from solar energy and fuel or thermal energy, respectively. Moreover, the
amount of energy demanded was also random between 10 and 50% of the supplied energy.
For this test, the total electrical energy was 50 kWh. Generally, the conditions for winning
in the double auction are the first highest bidding price and the first lowest offering price
for the buyer and the seller, respectively.
The Python function that was used to generate the uniform randomization was in the
following format [45]:
random.uniform (a, b)
For example, to randomize a number between 0.2 and 5.0, the following command
was used:
From random import random, uniform
random.uniform (0.2, 5.0)
random.randint (10, 100)
The sample of the data obtained by the uniform random sampling in the auction
sales is illustrated in Figure 6. The bidding and the offering prices were random for
20 auction times. The winner’s bidding price, i.e., the highest price, is shown in the
second-last column.
Energies2024,
Energies 2024,17,
17,1220
x FOR PEER REVIEW 10 of 19
10 of 19

Figure 6.
Figure 6. Example
Exampledata
dataobtained
obtainedby
byuniform
uniformrandom
random sampling
sampling in in
anan auction.
auction. The
The redred color
color repre-
represents
sents the offer prices and the amount of energy for selling, while the black color represents the
the offer prices and the amount of energy for selling, while the black color represents the bidding
bidding prices for buying.
prices for buying.
3.1.2. Price
3.1.2. Price at
at the
the Equilibrium
Equilibrium State
State
The price,
The price, PPxx,,atatthe
theequilibrium
equilibriumpoint
pointcan bebe
can determined by by
determined using thethe
using theory of de-
theory of
mand and supply [18]. The linear supply and demand equations are shown
demand and supply [18]. The linear supply and demand equations are shown as follows:as follows:
The equation
The equation for for the
the supply
supply curve
curve is
is
Qs = a + bPx (3)
Qs = a + bPx (3)
where Qs = the amount of supply; a = the quality of supplied products; and b = the price of
where Qs = the product
each supplied amount.of supply; a = the quality of supplied products; and b = the price of
each The
supplied product.
equation for the demand curve is
The equation for the demand curve is
Qd = c − dPx (4)
Qd = c − dPx (4)
where Qd = the amount of demand; c = the quality of demanded products; and d = the price
of eachQdemanded product.
where d = the amount of demand; c = the quality of demanded products; and d = the price
In demanded
of each order to find the equilibrium price, the supply function is set to equal to the de-
product.
mand function so that
In order to find the equilibrium price, the supply function is set to equal to the demand
function so that Qs = Qd (5)
Qs = Qd (5)

3.2. N-House P2P

3.2. The N-House P2P Trading
TradingModel
Model
the 4-house
After the 4-house P2P
P2P trading
trading model
model in
in Section
Section 3.1
3.1 was
was verified,
verified, it
it was
was extended
extended to
to
become the
become the N-house
N-house P2P
P2P trading
trading model
model where
where buyers
buyers and
and sellers were completely
completely free
free to
to
trade.
trade. The study procedures
procedures are
are as
as follows:
follows:
• Random
Random numbers
numbers for
for use
use of
of double-auction
double-auction bids
bids for
formore
morethan
than44houses.
houses.
•• Determination
Determinationofofpurchasing
purchasingsentiment
sentimentandandselling using
selling thethe
using bipartite graph
bipartite principle.
graph princi-
• Determining
ple. the probability of winning an auction compared to the price.
•• Finding the equilibrium
Determining priceofusing
the probability the principle
winning an auctionof compared
supply andtodemand.
the price.
• Finding the equilibrium price using the principle of supply and demand.
Energies 2024, 17, 1220 11 of 19

4. Tested Results
4.1. The Four-House P2P Trading Model
From the random sampling data on buying demand and selling supply, according to
Figure 3, House A and House B made bids, while House C and House D made offers. The
prices of the electrical energy for buying and selling were between THB 1.00 and 5.00 per
unit and the total demand and supply of the electrical energy in those four houses was
20 kWh; the data are shown in Table 7.

Table 7. Buying and selling prices with the amount of demand and supply in the system.

Demand Supply
THB/kWh House A House B Total House C House D Total
5.00 1.50 0.50 3.00 8.50 14.00 20.00
4.00 3.00 3.00 7.00 6.50 11.00 15.00
3.00 4.50 7.50 11.00 5.00 7.50 10.00
2.00 7.00 9.00 15.00 4.50 3.00 5.00
1.00 10.00 10.00 19.00 2.00 0.50 0.00

According to the information in Table 7, the calculation of the demand and supply
equations was completed as follows:
Supply Equation (3) was calculated as:

b = |∆Qs /∆Px |
= |(15.00-20.00)/(4.00-5.00)| = 5

Demand Equation (4) was calculated as:

d = |∆Qd /∆Px |
= |(7.00-3.00)/(4.00-5.00)| = 4

At the equilibrium state, the price, Px , was determined by Equation (5) as:

Qd = Qs
23 − 4 Px = −5 + 5 Px

Then, Px = 3.27 and Qd = Qs = 10.6.

From Equations (3) and (4), we predicted the related price between demand and
supply, which led to the forecasting results. The numerical distribution model for the
four-house experimental test was used, and its related price demand and supply graph is
shown in Figure 7.
After the data obtained from the experiment were represented in the chart, it was
found that the relationship between buying and selling demand was in accordance with
the theory of supply and demand. For the demand curve, when a product’s price drops,
the demand curve’s trend also declines. This means that consumers will consume more
electrical energy if its price is low. On the other hand, the trend in the supply curve rises
when the product’s price increases. This implies that suppliers want to sell more energy as
they perceive higher profit margins if the price is high. However, it is obviously seen from
the graph that the equilibrium price was 3.27 THB/kWh when the amount of electrical
energy was 10.6 kWh.
Energies2024,
Energies 2024,17,
17,1220
x FOR PEER REVIEW 12 of 19
12 of 19

Figure 7. Relationship between price and quantity when n = 4.

After the data obtained from the experiment were represented in the chart, it was
found that the relationship between buying and selling demand was in accordance with
the theory of supply and demand. For the demand curve, when a product’s price drops,
the demand curve’s trend also declines. This means that consumers will consume more
electrical energy if its price is low. On the other hand, the trend in the supply curve rises
when the product’s price increases. This implies that suppliers want to sell more energy
as they perceive higher profit margins if the price is high. However, it is obviously seen
from the graph that the equilibrium price was 3.27 THB/kWh when the amount of electri-
cal energy
Figure
Figure 7. was 10.6 kWh.
7. Relationship
Relationship between price
between price and
and quantity
quantity when
when nn == 4.
4.

4.2.
4.2. The N-House
After the dataP2Pobtained
Trading
Trading Model
Model
from the experiment were represented in the chart, it was
found Inthat
In this the relationship
experimental
experimental between
scenario,
scenario, it buying
it was and selling
assumed demand
that the was in accordance
P2P free-trade with
electrical power
the theory
market
market of supply
consists
consists 100and
ofof100 demand.
houses
houses that For the
thatmade
made demand
random
random curve,
10,000
10,000bids
bidswhen
andanda 10,000
product’s
10,000 offers. price
The
offers. drops,
relation-
The rela-
the demand
ship between
tionship curve’s
buying
between trend also declines.
confidence
buying confidence and This
and selling means
confidence
selling that
wasconsumers
confidence observed; will
theirconsume
was observed; more
frequencies
their frequen-of
electrical
buying energy
success and if its
of price
sellingis low.
success On the
are other
shown hand,
in the
Figure
cies of buying success and of selling success are shown in Figure 8. trend
8. in the supply curve rises
when the product’s price increases. This implies that suppliers want to sell more energy
as they perceive higher profit margins if the price is high. However, it is obviously seen
from the graph that the equilibrium price was 3.27 THB/kWh when the amount of electri-
cal energy was 10.6 kWh.

4.2. The N-House P2P Trading Model

In this experimental scenario, it was assumed that the P2P free-trade electrical power
market consists of 100 houses that made random 10,000 bids and 10,000 offers. The rela-
tionship between buying confidence and selling confidence was observed; their frequen-
cies of buying success and of selling success are shown in Figure 8.

Figure 8.
Figure 8. Success
Success frequencies
frequencies in
in buying
buying and
and selling.
selling.

4.2.1. Relationship between Buying Success Confidence and Bid Price

When the data on the purchasing sentiment and the success in winning bids were
broken down, the confidence data between 0.86 and 0.95 led to a 78.51–88.35 percent
accuracy. This shows the consistency in the purchase confidence. There is an obvious
correlation with the number of the winning bids, as shown in Table 8, which can be seen
more clearly in the chart in Figure 9.

Figure 8. Success frequencies in buying and selling.

 4.2.1. Relationship between Buying Success Confidence and Bid Price
When the data on the purchasing sentiment and the success in winning bids were
Energies 2024, 17, 1220 broken down, the confidence data between 0.86 and 0.95 led to a 78.51–88.35 percent
13 ofac-
19
curacy. This shows the consistency in the purchase confidence. There is an obvious corre-
lation with the number of the winning bids, as shown in Table 8, which can be seen more
clearly
Table 8. in the chart of
Distribution inbuying
Figuresentiment
9. and the number of winning bids.

Buying confidence 0.86

Table 8. 0.87 0.88
Distribution 0.89
of buying 0.90and the0.91
sentiment 0.92
number of winning0.93
bids. 0.94 0.95
Buying success 322 326 390
Buying confidence 0.86 0.87 0.88 0.89 325 0.90 432 0.91 497 0.92671 0.93568 699
0.94 910
0.95
All bidding
Buying success 322 410326 420390 490 325 400 432 530 497 610 671 800 568670 699810 1030
910
Unsuccessful
All bidding 410 21.46
420 22.38
490 20.41
400 18.75530 18.49 610 18.52 800 16.13 67015.22 81013.70 11.65
1030
Unsuccessful
AR 21.46 22.38
78.54 20.41
77.62 18.75 81.2518.4981.51 18.5281.48
79.59 16.13
83.88 15.22
84.78 13.70
86.30 11.65
88.35
AR 78.54 77.62 79.59 81.25 81.51 81.48 83.88 84.78 86.30 88.35

Figure 9.
Figure 9. Buying
Buying confidence
confidence chart.
chart.

4.2.2.
4.2.2. Relationship between Sales
Sales Success
Success Confidence
Confidence and
and the
the Offer
Offer Price
Price
When
When thethe data
data on
on the
the selling
selling sentiment
sentiment and
and the
the success
success in
in winning
winning bids
bids were
were broken
broken
down,
down, thethe confidence
confidence data
data between
between 0.86
0.86 and
and 0.95 led to 87.11–90.00 percent accuracy.
accuracy. This
This
shows the consistency in the sales confidence.
shows the consistency in the sales confidence. There is an
an obvious correlation with the
obvious correlation with the
Energies 2024, 17, x FOR PEER REVIEW
number
number of the winning bids, as shown in Table 9, which can
of the winning bids, as shown in Table 9, which can be
be seen
seen more clearly 14
more clearly in of
in the19
the
chart in Figure
chart in Figure 10.10.

Table 9. Distribution of selling sentiment and the number of winning bids.

Sales confidence 0.86 0.87 0.88 0.89 0.90 0.91 0.92 0.93 0.94 0.95
Sales success 325 392 354 388 259 160 251 278 224 162
All bidding 370 450 400 440 280 180 280 310 250 180
Unsuccessful 12.16 12.89 11.50 11.82 10.71 11.11 10.36 10.32 10.40 10.00
AR 87.84 87.11 88.50 88.18 89.29 88.89 89.64 89.68 89.60 90.00

Figure10.
Figure 10.Sales
Salesconfidence
confidencechart.
chart.

4.2.3. The Trend of the Relationship between Price and Sentiment for N Houses
The scatter plots in Figure 11 display the selling and the buying prices on the hori-
zontal axis with their confidence on the vertical axis. According to the trendlines, from the
buyer’s view, when the buyers offer low prices, they have low buying confidence. But if
they pay more attention to buying at higher prices, their buying confidence will increase.
Energies 2024, 17, 1220 14 of 19

Table 9. Distribution of selling sentiment and the number of winning bids.

Sales confidence 0.86 0.87 0.88 0.89 0.90 0.91 0.92 0.93 0.94 0.95
Sales success 325 392 354 388 259 160 251 278 224 162
All bidding 370 450 400 440 280 180 280 310 250 180
Unsuccessful 12.16 12.89 11.50 11.82 10.71 11.11 10.36 10.32 10.40 10.00
AR 87.84 87.11 88.50 88.18 89.29 88.89 89.64 89.68 89.60 90.00
Figure 10. Sales confidence chart.

4.2.3. TheTrend
4.2.3. The Trendof ofthe
theRelationship
Relationshipbetween
between Price
Price andand Sentiment
Sentiment for for N Houses
N Houses
The scatter
The scatter plots
plots in
in Figure
Figure 11 11 display
display the
the selling
selling and
andthe
thebuying
buyingprices
priceson
onthe
thehorizontal
hori-
axis with their confidence on the vertical axis. According to the trendlines,
zontal axis with their confidence on the vertical axis. According to the trendlines, from from the buyer’s
the
view,
buyer’swhen
view,the buyers
when the offer
buyers low prices,
offer they have
low prices, theylow
have buying confidence.
low buying But ifBut
confidence. theyif pay
more attention
they pay to buying
more attention at higher
to buying prices,prices,
at higher their buying confidence
their buying will will
confidence increase. On the
increase.
other
On thehand,
otherfrom
hand,thefrom
seller’s view, when
the seller’s view,the
whensellers
the offer low
sellers prices,
offer low their sales
prices, theirconfidence
sales
is high. When
confidence the sellers
is high. When want to sellwant
the sellers at higher
to sellprices,
at highertheir salestheir
prices, confidence will decrease.
sales confidence
It is decrease.
will evidentlyIt seen that the
is evidently intersection
seen point of both
that the intersection pointtrendlines, which which
of both trendlines, represents
rep- the
equilibrium price at theprice
resents the equilibrium equilibrium state, is approximately
at the equilibrium THB 2.8THB
state, is approximately per unit.
2.8 per unit.

Figure 11.
Figure 11. Buying–selling
Buying–sellingconfidence
confidenceequilibrium point.
equilibrium point.

The P2P
The P2Pfree-trade
free-trademodel
modelfor
forNN houses
houses tested
tested by by
thethe bipartite
bipartite graph
graph method
method revealed
revealed
the buyer
buyer relationship
relationshipandandbuying
buying behavior,
behavior, which
which helps
helps to identify
to identify howhow successful
successful eacheach
buyer is.
buyer is.The
Thestatistical purchase
statistical success
purchase ratesrates
success are between 0.86%0.86%
are between and 0.95%
and with
0.95%anwith
ac- an
curacy between
accuracy between77.62%
77.62%andand
88.35%. Similarly,
88.35%. the the
Similarly, model can can
model alsoalso
givegive
insights into into
insights sellerseller
relationships and selling behavior, which can be used to predict sales opportunities from
past sales behavior. The successful sales statistic values are between 0.86% and 0.95% with
an accuracy between 87.84% and 90.00%. Moreover, the equilibrium price, which was
derived by using the demand and supply law and the bipartite graph method, was THB
2.78 per kWh.

5. Discussion
According to the four-house and the N-house double-auction data simulations, the
results of the tested P2P pricing model agreed with each other and their trendlines went in
the same direction. Those models were also verified by the proven results from demand
and supply theory and bipartite graph theory. This can be expressed as: more goods on
Energies 2024, 17, 1220 15 of 19

the supply side leads to the lower price of those goods on the market. In other words,
the lack of products results in their higher price. Moreover, the buying confidence will
rise with higher prices, and if the purchasing price is high, the buying confidence is also
increased. In addition, when the demand for a product is high, the price of the product will
rise, and the price of the product will decrease if there is less demand for it. In terms of
sales confidence, the chances of sales success will vary inversely with the offered prices. If
the offered price for sale is high, the chances of winning the auction or confidence in the
sale will decrease, while if the bidding price is low, the sales confidence will increase.
Both models have consistency in terms of price trends, but they still cannot point out
the right price. Indeed, the bipartite graph method is the backbone for the buyer and the
seller’s estimated prices to be used in the competition. With the bipartite graph principle,
P2P trading gives confidence in the trading, increasing the chances of winning bids and
the chances of winning auction sales. The result showed that the equilibrium price was
2.78 THB/kWh. Given that the regulated price that suppliers can sell their electrical energy
produced from solar energy is 2.20 THB/kWh (as shown in Table 1) and consumers must
pay about 3.27 to 4.51 THB/kWh for their used energy (as shown in Table 2), the suppliers
can increase their income by 0.58 THB/kWh, while the consumers can decrease their energy
expense by about 0.49 to 1.73 THB/kWh. Therefore, it can be concluded that both suppliers
and consumers will obtain more advantages from participating in this P2P model such as
increasing incomes and decreasing expenses, respectively. In addition, this will help both
buyers and sellers offer the right price due to the mechanism of a truly free market, which
will cause true fairness in the sustainable electricity supply chain industry in Thailand. The
findings of this study are consistent with those of the previous reports [2].
Once the regulated price is cheaper than the price determined in P2P transactions,
consumers will have no willingness to participate in the transaction. However, according to
the demand and supply law, consumers normally still want to pay less than that regulated
price, while the suppliers, who want to sell their goods, will also cut their margins off,
which leads to the lower selling price. Therefore, the equilibrium price in P2P transactions
will change to another lower price, which is lower than the regulated price again. Then,
both suppliers and consumers still obtain advantages such as gaining profits and saving
expenses, respectively.
In addition, the P2P trading platform will not have any participants in the transactions
if the Thai government announces a policy that will promote the very high regulated
buying price and subsidize the regulated selling price in the electricity market. That means
the suppliers will be willing to sell their produced electricity to EGAT to gain very high
profits, while the consumers will prefer to buy electricity directly from the grid instead of
the suppliers. This phenomenon will not sustain the social, environmental, or economic
aspects. Finally, when the government does not have the money to finance the policy, the
regulated prices will return to the real regulated prices, and then P2P transactions will be
active again.

6. Beneficially Practical Implications of Economic Pricing in P2P Electrical Trading for a

Sustainable Electricity Supply Chain Industry (SESCI) in Thailand: Social,
Environment, and Economic Aspects
Nowadays, the electrical energy industry in Thailand is necessary for the country’s
developments in many areas such as trade, industry, communication, and housing, which
are related to the direction of growth and the country’s economy. The planning to deter-
mine the direction of development at the country’s policy level in electric power is very
important for long-term sustainable developments in the future, especially in the three
cores of sustainability, i.e., society, environment, and economics [46,47]. The important
issues are used in the planning to determine the policy direction, i.e., the consideration
of controlling the amount of demand and supply sides of energy use and production
together. This method can be used to study and analyze the elements from the electricity
supply chain from upstream, including the procurement of electrical energy, to midstream,
including producers, and all the way to downstream, including consumers [2]. It consists
Energies 2024, 17, 1220 16 of 19

of five main processes in the electrical industry, i.e., (1) fuel procurement, (2) electricity
production, (3) the electrical transmission system, (4) electricity transportation in the dis-
tribution system, and (5) electrical retail. The benefits of the studied P2P electrical trading
platform on those five processes in the field of social, environmental, and economic areas
are shown in Table 10.

Table 10. Benefits of the P2P platform on the electricity supply chain in social, environmental, and
economic areas.

Beneficially Practical Implications of Economic Pricing in P2P Electrical Trading for

Existing Processes of the Sustainable Electricity Supply Chain Industry in Thailand
Electrical Supply Chain
Social Environment Economics
Lowering fuel transportation
or restricting gas pipeline
Reducing expenses on
Participation in regulating installations helps diminish
(1) Fuel procurement importing fuel and natural
electrical energy prices. the overall environmental
gas.
impact on the surrounding
areas.
The electrical power
generation from PV system is Possible to develop a business
Using clean energy for power
simple and user-friendly, that supplies equipment for
(2) Electricity production generation decreases pollutant
empowering communities to PV system installations at the
emissions.
self-educate and install it community level.
themselves.
Implementing community
microgrid systems diminishes Microgrids improve the
Flexibility in the installation
the demand for nationwide electrical system’s stability
and utilization of local
(3) Electrical transmission transmission system and dependability, resulting
microgrids helps diminish
system installations, leading to less in less compensations due to
reliance on centralized
intrusion into forested areas power outages and blackouts
electricity transmission.
and mitigated environmental in the local area.
impacts.
There is adaptability in By deploying microgrids,
Clean energy-produced
handling energy management electricity losses in the
electricity, devoid of
(4) Electricity transportation at the community level, transmission system are
pollutants, contributes to
in the distribution system contributing to a decrease in reduced, allowing for the
establishing a Green
reliance on central energy highest possible revenue from
Community identity.
management. electricity sales.
It involves creating a
Establishing electricity prices
sustainable awareness that
that are fair and appropriate
Utilizing peer-to-peer (P2P) encourages community
for stakeholder based on the
platforms can enhance the members to understand the
supply and demand economic
reputation and support the importance of environmental
(5) Electrical retail law. Income from selling
sustainability of conservation, pollution
electricity will be directed
community-based electricity reduction, and mitigating the
back into the community to
sales business. impact of the greenhouse effec
enhance local economic
on both the local populace
growth.
and the entire nation.

7. Conclusions, Limitations, and Future Work

The peer-to-peer trading systems that exist today continue to focus on creating trading
platforms. Some of them focus on managing electrical power in the system to be worth-
while and sufficient for all users in the system, while there are few works that explain
the upcoming price mechanism. The results of this study revealed two key findings as
discussed below.
Energies 2024, 17, 1220 17 of 19

7.1. Explaining the Price Mechanism

When there is completely competitive buying and selling, it was discovered that it
actually followed the law of supply and demand. But that method could not determine if it
would win or lose in the race. Therefore, the bipartite graph theory calculation was applied
as a tool to determine the chances and the probability of buying success and the probability
of a successful sale and to find out the right price to win the auction.

7.2. The Appropriate Price at the Equilibrium Point

Whether the models were proved by the demand and supply theory or the bipartite
graph method, the prices at the equilibrium point were approximately the same, in this
case, it was about THB 2.78 per unit. This kind of price mechanism is useful for biding a
satisfactory price and offering a reasonable price in term of buyers and sellers, respectively.
Compared with the current single-buyer monopoly market, the results of this study showed
that the price of electrical energy per unit was much cheaper. We believe that if the studied
system is adapted, it will be fair for all stakeholders in electrical energy trading.
However, there are some limitations in this research. The model testing is predicated
on the idea that the total amount of power in the system needs to have sufficient volume.
But if the supply is not enough, the behaviors of the buyers and the sellers in the auction
system will change. Nevertheless, the market will reach equilibrium anyway. In addition,
it is important to investigate the potential increase in the distribution network costs in the
event that renewable energy prices become more competitive and peer-to-peer electricity
trading becomes more active in the future, as well as the service charge of the brokers and
the stakeholders. Moreover, in order to attain the desired benefits, P2P electricity trading
techniques, which are varied, probably need to be tailored in accordance with the target
distribution systems, such as on islands, villages, or distant places. Therefore, while it is
worthwhile to conduct additional research into the P2P electricity trading mechanisms of
future distribution systems, it is also necessary to develop designed guidelines, platforms,
government policies, and regulations for these mechanisms.

Author Contributions: Conceptualization, A.L. and Y.S.; methodology, A.L., T.W. and Y.S.; software,
A.L., T.W. and Y.S.; validation, A.L. and Y.S.; formal analysis, A.L., T.W. and Y.S.; investigation, A.L.
and Y.S.; resources, T.W.; data curation, T.W.; writing—original draft preparation, A.L., T.W. and Y.S.;
writing—review and editing, A.L. and Y.S.; visualization, A.L., T.W. and Y.S.; supervision, A.L. and
Y.S.; project administration, A.L. and Y.S. All authors have read and agreed to the published version
of the manuscript.
Funding: This research received no external funding, and the APC was funded by Mahidol University.
Data Availability Statement: The double-auction bidding random data, the success confidence in
buying and selling data, and figures and tables, as well as the simulation input files, are available
upon request.
Conflicts of Interest: The authors declare that this research was conducted in the absence of any
commercial or financial relationships that could be construed as a potential conflict of interest.

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