Advanced information technology for development of electric power market

Features of the electric power market functioning, in comparison with common properties of modern markets, are considered. It is shown that continuous reforms, which take place in many countries, are far from reaching effective solution. Sectoral peculiarities, connected with both technological complexity of the field and economic specificity of the market participants, form very special model of the market. The main way to increase effectivity of the market, to make it more competitive and, in the same time, socially responsible, is to use widely and deeply the modern information technologies, including technologies of artificial intelligence. A technological scheme (especially targeted on features of the electric power market) has been proposed in the article. First, the technologies merge methods of collection, storage, processing, and presentation of information. The collection of market data should be automated, particularly, by the so-called intellectual avatars, which operate in the market as virtual agents. A reliable distributed storage of data, based on blockchain technology, is chosen. The big data technologies of data structuring, storage, and processing are involved. Datamining methods include effective presentation of results in forms of graphs and diagrams. The second set of technologies includes core mathematical models and “digital twins.” They are aimed for data interpolation and extrapolation, in particular, for prediction of further system dynamics. The used neural networks have option of self-learning and self-development. At last, the third set is a set of user interfaces, which provides market actors by complete and adopted information and is organized in accordance with ideas of ergonomics.


Introduction
Since the 1990s of the twentieth century, in the electric power industries of industrialized countries, processes aimed at the active development of competitive conditions are being launched.First in Chile and the UK (since 1990) and further in many other countries, including Russia, serious institutional reforms are being carried out aimed on the "deregulation" and "liberalization" of the electric power industry.The fundamental idea of these reforms is to use a competitive market system as a systemic way to increase the efficiency of the production, supply and consumption of electric energy, in addition to increase the reliability and quality of customer service.During these periods, supply of electricity on the market no longer appears (as it was 100 or so years from the very beginning of the emergence of electric power industry) as a service with the necessary strict state (primarily tariff) regulation [1].
A gradual transition to free competitive principles of interaction between suppliers, consumers and other subjects of the electric power market (below it is mentioned as EPM) begins.
In fact, in a process of reforming the electric power industry, each government gives task to extend at EPM properties and mechanisms characterizing various modern markets with developed, non-deformed conditions of competition.
Important conditions for solving this task are created as a result of actively developing informatization processes, intellectualization of the environment, activities, and interaction of people, taking part in electric power systems.The modern "free market" means quite complex system of ICT-supported activities, which can assist to balance interests of actors of the market [1].
There are countries that have achieved significant success in this direction; in particular, they include the UK, Chile, Australia, and New Zealand.At the same time, it should be noted that by 2019, no country has yet fully completed the creation of any satisfactory competitive EPM.The factors that have a significant impact on the pace and effectiveness of EPM reform processes are the characteristics of this market, based on the features of entrepreneurship related to the production, transmission and consumption of electrical energy [2].
The main motivation of our research is necessity to continue the reform of EPM, taking into account its industry features, in conditions of rapid development of ICT tools, which provides new and new opportunities to increase effectivity of support of EPM, assuring real free competition in it.
The central problem is to specify a model scheme, which can provide conditions of free competitions in EPM on the base of using very modern ICT tools to support market activities.
To develop the scheme, a number of methodological approaches and data sources have been used.The main used methods are the following: -Economic analysis of EPM, taking into account its technological features [1,[3][4][5]; -Principles of development of information systems (IS) and ERP-systems; -Modern decision-making computer tools, based on artificial intelligence principles [6][7][8].
The main contribution of the research is proposed scheme of EPM organization and regulation using special software tools.The system architecture is fixed.Details of its realization is partially fixed too, and, partially, are under development.
2 Specific features of the electricity market and its information support EPM is a constantly evolving dynamic process of interaction between actors (people and organizations) related to their business in the field of production, transmission and consumption of electric energy.Discussed market is based on a wide variety of electrical and other technologies that allow people to create, transform and use electrical energy to meet their own needs either to produce products and services.The electric energy produced at power plants and other sources of generation is offered on the market for use to all potential buyers.The process of the interaction at EPM is an integral part of the general market, as well as it is a social process.As in other markets, the interaction processes in EPM are extremely complex, formed by an interaction of many (millions of) actors distinguished by an infinite variety of constantly changing goals, tastes, ratings, and practical knowledge.
Entrepreneurship at EPM (as in other areas of human activity) is competitive.The pronounced competitive nature of subjects relations are expressed in the following: "…that various actors consciously or unconsciously compete with each other to be the first to discover and use the opportunities to reach profit" [6].Suppliers and consumers of electric energy and services in the course of their business at EPM are constantly in the process of identifying opportunities for their profit.In this market, "… sellers strive to … surpass each other by offering better and cheaper goods and services, and buyers seek higher prices" [7]."As soon as someone saw a specific opportunity for profit and began to act, this opportunity disappears, and then no one in this particular place at this time can see it and use it" [6].It the same time, in the process of entrepreneurship (people's interaction), new information is created and transmitted, which inevitably changes the general perception of means and goals by all participants in the interaction.These changes, in turn, cause countless new cases of inconsistency, providing new opportunities for extracting entrepreneurial benefits, and this dynamic process is spreading, never stops, contributing to the continuous development of people's relations in this market and in society.The new infrastructure for the information collection, processing and spreading creates radically new opportunities for the market functioning.
Along with the fact that EPM is a part of the general market, the nature of the interaction within it is been determined by the features of the technological processes of creation, conversion, transmission, as well as a consumption (use) of electric energy on various devices.The indicated technological features are determined by special properties of electromagnetic fields as a special type of matter that form specific features of electromagnetic processes in electrical circuits.The special nature of electromagnetic processes in electrical circuits, obeying objective physical laws, inevitably and definitely determines the technological features of the production, transmission and consumption of electrical energy, which, in turn, determine in many respects the features of the business process (associated with the creation, exchange and using electrical energy) on EPM.

Any supply of electricity is realized by the technological connection between the electrical installations of the consumer (buyer) with sources of generation (supplier)
The physical properties of electromagnetic waves-carriers of electrical energy-determine that in all cases, a transmission of electrical energy is possible only, if there is an electrical connection between the source of generation and the powerconsuming device through electric transmission lines.In view of this, in order to obtain the technical feasibility of exchanging electric energy, consumers must have access to electric networks (make technological connections to them), which, in turn, are electrically connected to the generation sources.Only after a technological connection to a single electric grid for them, both the power plants of manufacturers and the power plants of consumers (buyers), is it possible to carry out transactions on EPM on the actual supply of electricity.
Moreover, the special properties of electromagnetic waves, carriers of electrical energy, predetermine that sources of electricity generation (power plants), substations and electrical installations of consumers, interconnected by electric transmission lines, operate in the electric power system formed by them (hereinafter-EPS) in parallel with a single frequency electric current.In the modern worlds, the vast majority of transactions on EPM are carried out using the capabilities of large electric power plants, in which they operate in parallel operation with a single frequency of an electric current, electrically connected: -Electricity generating equipment of a large set of power plants (up to how many tens of thousands of units of power generating equipment); -Large number of electrical installations of consumers (up to several hundred million connection points, or supply points) c) devices (equipment) of electric networks that provide electrical connections between the points of generation and points of consumption of electric energy (including lines electrical transmission, transformers, distribution devices, automation equipment, automated control).
The combination of various generation sources (with the mass of energy-consuming devices of various consumers through electric networks) provides market entities with a number of technological, economic benefits and advantages (versus isolated systems using the "separately working source of generation -consumers" scheme) [14], and creates the prerequisites for the development of competition conditions in the specified market [1].In the same time, it means taking into account all the set of data about the real and potential interactions between market actors.Such approach prerequisites the use of the big data and blockchain technologies.

Technologically determined necessity for concerted actions by EPM entities aimed at constantly maintaining the overall balance of active (and reactive) electric power in the EPS they use
Due to special properties of electromagnetic fields and characteristics of electromagnetic processes in electrical circuits, in order for electrical energy with given parameters (quality indicators) to be used on consumers' electrical installations, it must be generated in moments of its consumption (as is known, by its physical nature electricity is used almost at the time of its generation).To do this, EPS implements a single technological process that connects the technological modes of production, transmission and consumption of electrical energy.Providing the necessary (specified, normal) parameters of the specified technological process is achieved only if the overall balance between the active (and reactive) electric power taken from the specified system by various powerconsuming devices and the power supplied to the specified system by the generation sources is constantly maintained.Only strict adherence to the specified balance at any moment of time (seconds, hours, days, months, years) allows us to provide a single frequency of electric current (as well as other operating parameters that determine the reliability and quality of electric energy in various EPS points).An imbalance between the power supplied to the network by the generation sources and the power taken from the system cannot exist without serious negative consequences for the objects combined in EPS.
In cases when EPS is compelled to have a shortage of generated power (and if the possibilities of increasing the generated power have been exhausted, including due to emergency shutdowns of power equipment, scheduled repairs) against the required level, the state of the system requires automatic reduction of the electrical load of consuming electrical installations.Vice versa, if the value of the generated power turned out to be higher than the load of consuming devices, then it is reduced by means of automation and/or dispatch control systems.The corresponding control system should be embedded to the information support system (ISS) of EPM, and ISS should have power to predict the rate between supply and demand.
The volumes of electric energy consumed by devices connected to the electric network are actively changing over time (based on the goals and objectives of certain consumers controlling these devices).Each switch-on, switch-off and the time-varying load of any power receiving device for industrial, social or domestic purposes (electric motors, electric receivers designed for heating, converting electric energy into a thermal one, etc.) changes the amount of power required by these devices from the EPS.Correspondingly, the joint operation of a large number of electrically connected installations of consumers through electrical networks (part of EPS) generates stable fluctuations in the volumes of consumption of electric energy (power) over time.Under these conditions, the volumes of generated electric power (energy) in EPS should constantly change based on the total load of power consuming devices of the specified system (consumers and suppliers themselves, including for the own needs of power plants and losses in power transmission equipment).
The technology is needed for continuous monitoring and regulation of the operating modes of the facilities that make EPS able: -To maintain the overall balance of active (and reactive) electric power in EPS; -To ensure a single standard frequency of electric current, as well as other operating parameters that determine the reliability and quality of electric energy in a single technology.
One of the central elements of a constantly implemented set of measures by EPM entities aimed at maintaining acceptable EPS operating modes is a dispatch control system that provides for constant round-the-clock scheduling (control and management of electric energy production volumes on generating and transmitting devices under evolving consumer load levels) as in normal and emergency modes.
The variable, largely indefinite both in the short and long term, nature of changes in the volumes of consumption of electric energy also largely determines the need for the EPS technology to maintain significant reserve capacities (again, with elements of prediction).

2.3
The use of EPM takes place along with general economic, specific "industry" legal norms and rules (special, not accepted in other areas of human activity Implementation of transactions on EPM is carried out as a result of joint coordinated activities of various people and their structures, jointly forming and using the technological capabilities of EPS.To ensure the normal functioning of EPS, electricity producers, structures that ensure its transmission (conversion), consumers who receive it to power consuming devices must provide continuous coordinated control of the processes of production, transmission and consumption of energy, including automatic and dispatch regulation.
The actions of market entities within the framework of the indicated legal norms and rules make it possible to achieve a stable implementation by all market entities of measures aimed at maintaining the normal operating modes of EPS and the required modes of supplying electric energy to consumers' electrical receiving facilities.An "industry-specific" set of special legal norms and rules, used to regulate relations at EPM, is historically formed and developed as a result of accumulation of experience in the practical interaction of various entities of the specified market, including through mechanisms of explicit and implicit transfer of information, mutual coordination of activities (self-regulation) and often supported by government regulations.
In the field of EPM functioning one may distinguish a set of technical (technological) requirements (for equipment, for technological processes, for the organization of interaction of technological elements in EPS), as well as the specific rules for conducting business (a set of "industry" rules for conducting business on the EPM) and its state regulation.In both the cases, the formalized rules should be a part of ISS EMP.The intellectual system can both use the regulation information for organization and optimization of customers' options, and for generation ideas about renewing restricting and, possibly, outdated rules.

Support of purchase and supply of electric energy by a number of related services that are necessary for the technical support of its supplies with the required quality and reliability indicators
To support consumers, services, aimed at providing the required parameters of electric energy at delivery points of electric network, are developed.They include: services for technological connection to the electric network (technological infrastructure); services for the transfer of electrical energy and power through electrical networks; operational dispatch and technological management services in EPS; system services provided by market entities on commercial principles.In addition, the following are traded on modern EPM: services of operators of the trading (commercial) infrastructure of EPM; services to support the information technology base of EPM functioning; obligations to supply/receive future electricity, or other goods traded on EPM.
All these types of services have a certain value for buyers (consumers) and must meet the agreed requirements for the quality (consumer properties) of the goods [1].Naturally, the wide spectrums of opportunities should be reflected in both data (and knowledge) bases of ISS EPM and its user interfaces.

Formation within ISS EPM of a special information exchange system, aimed at maintaining the conditions for the functioning of EPS, as well as the timely execution of transactions and commercial settlements of market entities
A special information exchange system at ISS EPM is determined, in particular by: -The physical characteristics of electric energy as a special matter, which has neither weight nor volume and is not perceived externally; -Features of accounting for electric energy, power, and services associated with it; -The historical rules and patterns of behavior that determine the rules for transferring ownership of electric energy and electric power; -The rules for determining when, how, and in what quantities certain services are provided that accompany the process of supply (exchange) of electric energy.
The system of constant information exchange between suppliers and consumers of electric energy assumes, first of all, a constant exchange of data on the composition, parameters, characteristics and condition of equipment included in the EPS, as well as on the quantity and quality of electric energy.The latter includes the following: -Providing data on the quantity (monthly, as well as, in modern conditions, for shorter periods: 1 hour or even 5-10-minute time intervals); -Continuous monitoring of the use of electric energy within the agreed capacity, or accounting for the actual consumed power; -Continuous monitoring of data characterizing the quality of electrical energy, etc.
It should be mentioned that in modern conditions requirements of consumers to the information exchange system on EPM are sharply increasing.In the early stages of development of this market, and up to the 1980s.the growth rate of electricity tariffs was significantly behind the inflation rate in the economy for consumers.As a rule, the information they could get on the market from "their own" suppliers vertically integrated energy companies, as well as various suppliers' power-consuming equipment.The twentieth century began to grow rapidly, and consumers began to have an increasing interest in information about how the market process works in the field of supply and consumption of electricity.And already that information, which was formed mainly under the interests of the "own" electricity suppliers and suppliers of power-consuming equipment occupying a monopoly position, became insufficient for consumers to fully assess the market situation and their actions on it.Since then, there has been an active consumer demand for information on various options (commercial offers) that these or other sources of generation can provide for consumers.
Consumers are interested in price information about the opportunities (offers) of various generating sources located in different parts of EPS for the supply of electric energy to their consumption points, taking into account the costs of electric power transmission from the generation point to the consumption point.Such an interest of consumers is associated with their interest in additional entrepreneurial benefits (profits) from optimizing the conditions for the purchase of electric energy (or the conditions for electricity supply).In conditions of a relatively high level of tariffs for electric energy (about 15-20 cents per 1 kWh and above), such a goal is being formed among an increasing number of consumers.On the other hand, increasingly competitive operating conditions, the desire to increase sales of electric energy, as well as the desire to load equipment as much as possible (increase the load factor) pushes producers and suppliers of electric energy (especially new ones, or those that are actively developing, including those using technologies) distributed generation), to search for information about additional sales opportunities in the market.At the same time, the current EPM remains largely inaccessible to consumers (or it is obtained in a seriously distorted way) by practical information about the proposals (potential opportunities) of manufacturers and electric grid companies for the supply of electricity at specific equipment connection nodes of various consumers.And vice versa: practical information about a possible solvent level of demand for electric energy and services, often remains inaccessible to various suppliers of electricity and services.
Taking into account the peculiarities of the processes of interaction between suppliers and consumers, the transience of technological processes and, correspondingly, constantly changing price, arouses a demand for a special system for the formation and dissemination of information that would quickly bring price proposals to market entities as suppliers and consumers alike.Special infrastructure system of ISS EPM for the formation and transfer of market information, as well as for organizing the execution of transactions, provides people ability to know new business opportunities, give them new opportunities to act freely and effectively.

Digital model of EPM
Current trend of digitalization creates conditions for formation of a "digital" model of EPM with free competition conditions for consumers and suppliers of electricity and services, including the organization of technological and commercial infrastructure (first, within a framework of a special sector of the "free trade sector of electricity market," hereinafter-FTSEM).
Within the framework of this model, suppliers, consumers and small generation entities are actively involved in competitive procedures in EPM.They are involved (without any restrictions) in direct bilateral contracts between producers (generating companies, local generation, other suppliers) and consumers, providing for the supply of electricity from the point of generation to the point of consumption.Transactions are carried out basing on physical electrical grids depending on their technological and economic feasibility.
The power grid organizations realize (in addition to access to networks, transport and operational dispatch control) access to systems of technological, information, and communication interaction.
For organizational and information support of direct bilateral relations between consumers and suppliers, as well as for ensuring their effective interaction, establishing of regional infrastructure organizations is envisaged.The infrastructure organizations of FTSEM are created and managed on the principles of self-regulation (with involvement of external authorities).They are responsible for functioning trading platforms, a transparent settlement system, as well as on the optimization of the development of the electric power system.A principal scheme of FTSEM is represented on Figs. 1 and 2.

Actual tasks for assuring effective functioning of EPM
An analysis of the experience of functioning the electric power industry in economically developed countries [4,[9][10][11][12]15] shows that achievement of the expected performance indicators in the field of production, transmission, and consumption of electricity is a very complicated problem.EPM in many respects does not correspond to the characteristics of a competitive market with free circulation of information [1].Modern EPM with its inherent features failed to create, on the world level, more or less free and open system with transparent rules and accessible data.The logical incompleteness of its reforming was largely due to the fact that when conducting reforms in the electric power industry, focusing on achieving the necessary levels of reliability and minimizing the impact of electric power reforms on social processes, only secondary attention is paid to ensuring the necessary conditions for free competition and development of information flows.Despite the fact that in many countries the creation of a "competitive market for electric energy and power" has been announced, many institutional factors pose significant obstacles to free enterprise in this market.One of ways is development of market infrastructure, replacing the role of state in EPM regulation by ISS with functions of prediction and decision-making.Consumers in the market should be provided by free and effective access to market information to be able to make its own decisions.
Due to the persistence of serious problems and shortcomings on the modern EPM, which are based on the logical incompleteness of the previous reform stages (for the problems of the Russian EPM, see [1,[16][17][18]), it is important to invest in the market information infrastructure and ICT research for effective use of the infrastructure.
Technological research should be organized taking into account economic aspects, particularly, modern methods of economic calculation, which are mainly based on a monetary assessment of capital, estimated in monetary units, the evaluation of which is carried out as a result of economic calculation.Entire approach should be based on using database and calculating software, as well as principles of information management [19].Concerning the modern market infrastructure, a special set of infrastructure services is being developed that provides market entities with the ability to exchange extensive market information, as well as allows transactions to be made and implemented with minimal transaction costs.The most important result of the functioning of this infrastructure is that it creates favorable conditions that facilitate the exchange and dissemination of market information that can be used by market entities in their business activities.Market infrastructure also contributes to the resolution of transaction costs to one degree or another.Exchange costs associated with the transfer of property rights: the costs associated with organizing the interaction of entities on the market, access to trading operations in public trading systems, and finding information about consumers and delivery conditions, with negotiation, advertising, payment for services of organizations serving and controlling the sphere of trade, etc. Competitive interaction, free price formation using modern market infrastructure (electronic trading platforms, exchanges, settlement, billing centers, information exchange systems about potential applications for the purchase and sale of certain goods, etc.), can significantly increase the efficiency of the market system.Operating on the basis of modern information technologies provides the most important conditions for intermediaries between producers and consumers and creates "bridges" with the credit and financial system, operations with securities, investment market and perform many other functions.
In the current environment, it is obvious for experts, who are immersed in the issues of EPM functioning, that after a "break-in" of "target models of the electric energy and power market" to implement a qualitatively new set of measures to develop this market.This is advisable to take into account the "industry" features, the social significance of the electricity industry, etc.But at the same time, in the measures being developed to develop the specified market, the issues of achieving the characteristics typical of modern markets with developed competition should be no less priority.Such an approach will ultimately allow satisfactorily solving the problem of increasing efficiency in the electric power industry.
In order to increase the efficiency of the power supply sphere, despite some restrictions that arise as a result of the EPM features (having a technological basis), it is necessary to use entire spectrum of modern ICT, including artificial intelligence technologies.The principal scheme can be described by an information model of the market, unified several technologies.
The first set of technologies merges methods of collection, storage, processing and presentation of information [3].The collection of market data, additionally to automatically collected official market data, can be realized by the so-called intellectual avatars, which operate in the market as virtual agents [8].The avatars have direct interface with the system knowledge base, which unify several databases, huge number of documents and images.A reliable distributed storage of data, based on blockchain technology, is in use.
The big data technologies of data structuring, storage and processing are involved.Datamining methods are elaborated in close correspondence with this or that data character.The computational algorithms include effective presentation of results in forms of graphs and diagrams.
The second set of technologies includes core mathematical models and "digital twins."They are aimed for data interpolation and extrapolation; in particular, for prediction of further system dynamics.Naturally, the main tool is neural networks with option of self-learning and self-development.
At last, the third set is a set of user interfaces, which provides market actors by complete and adopted information and is organized in accordance with ideas of ergonomics.Equal access to information in adopted form can make easier involvement of new participants to EPM and promote real competition in it.

Conclusion
Implementation of conditions for a free, non-deformed competition at EPM cannot be a single-time occasion, rather a long, constantly developing process, which should be based on deep imbedding of intellectual ICT.Implementing serious structural reforms into the electric power industry and the corresponding market makes necessity of further development of information infrastructure and the rules for the functioning of the market.Under the current conditions, there comes a period of new awareness and determination by market participants and regulatory bodies of a new EPM model under developed competition conditions, with the subsequent development, creation and implementation of intellectual mechanisms and procedures.
Comparing the presented results with existing ones, we can mention that they are in line with general understanding of EPM development [4,5,15,20,21].In many countries, various projects are being implemented to develop a competitive environment of EPM.In the same time, our research is one of first attempts to make this development basing of systematic ICT-oriented platform.We proposed a scheme, closely connected with specific Russian EPM conditions, and its implementation into practice of Russian system is in progress.We hope that this experience can be useful for other countries also.
Plans of further development of the methodology are described, mainly, in the Chapter 4. To summarize, we can mention plans, connected with development of FTSEM, which include of forming: -The information technology platform of FTSEM on the base of blockchain technology; -Mathematical model of the energy system, as a kernel part of the platform; -The system of infrastructural organizations of the trading system of FTSEM; -Automated management systems for the organization of infrastructure services in FTSEM.
The importance of increasing the efficiency of the electric power industry dictates the need for concerted actions by state structures and market entities to change and further develop information technologies for support of the industry, including technologies of artificial intelligence.Development of knowledge bases, with use of big data and blockchain technologies, which unify information about past and present state of EPM is a first step.Next ones are elaboration of neuron networks for forecasting future market states and adaptive interfaces for main actors of the market processes.

Fig. 1
Fig. 1 General architecture diagram of competitive "Free Trade Sector" of the Electricity Market (in the figure, EDMS means Energy Data Management System; BSC is Billing and Settlement Center; FDC is Forecasting and Development Center)

Fig. 2
Fig. 2 An approximate scheme of organization of the information technology platform of FTSEM