Carbon Market Trading Mechanisms Considering Multi-Layer Reactive Power Compensation

In the context of achieving carbon peaking and carbon neutrality goals, focusing on coordinated efficiency in loss and carbon reduction, and promoting comprehensive green transformation of economic and social development are critical strategies. Line loss is an economic and technical indicator for measuring losses in a power system, and loss reduction is one of the important ways to achieve the carbon peaking and carbon neutrality goals in the power system. However, with the continuous increase in the power grid scale and the increasingly complex operation mode of the system, it is difficult to clearly quantify the carbon reduction benefits brought by system loss reduction. In order to synergize grid loss reduction and system carbon reduction, and generate economic and environmental benefits at the same time, this paper proposes a carbon market trading model that considers multi-layer reactive power compensation strategies. Based on the carbon emission flow model, a node carbon cost pricing is formed, and multi-layer reactive power compensation measures are set in the distribution network nodes to obtain an optimal loss reduction strategy, with the carbon market trading cost minimization as the objective. The effectiveness of the model is verified by simulating and analyzing four scenarios. Compared with the original system that does not consider carbon trading and reactive compensation, the model proposed in this paper can reduce losses by 20% and reduce carbon emissions by 5.7%. This paper is of great value for reactive power loss reduction management in distribution networks of a low-carbon background.