Objective: Submit a bidding strategy that maximizes your profit.

Instructions:

$1.$ We now consider strategic anticipation of groups when submitting bids. You again have to submit a

bidding strategy, which has not necessarily be equal to your submission in Task $4.$

$2.$ We will combine all of your bids and determine the actual market outcomes. Your goal is to maximize

profit.Figure $1$: Setting for Task $2-4.$ We have an isolated power system comprising two nodes, the export$-$constrained

North $($ N $)$ and the import$-$constrained South $($S$).$ These two nodes are connected through a single transmission

line with a transmission capacity of $20$ GW $.$ We abstract from transmission losses and voltage limits and study

a $1-$hour snapshot of the market.

Table $1$: Market result of the nodal pricing market.

Table $2$: Setup of the redispatch market.

Variable cost $(\frac{}{M}Wh)$

Figure $2$: In our model, the Northern node has three generation sources: wind power $(10$ GW $),$ coal$-$fired power

plants $(15$ GW $),$ and diesel peakers $(10$ GW $).$ We abstract from ramping, start$-$up$,$ or minimum load constraints.

As there is no load in the North, the direction of electricity flow will always be southbound. The Southern node

connects loads $(30$ GW $),$ which are assumed to be perfectly price inelastic, and natural gas$-$fired power plants

$(15$ GW

Submission: A table with your bidding strategy $(.$xlsx$).$