It is an important component of electricity reformat present to build an efficient electricity market for the reason thatmarket is the most efficient way to allocate resources.At the sametime

energy saving and emission reduction has become a global hot.spot.How to consider the energy efficiency in the power market sys.tem and improve the energy efficiency level of the whole society willbe the focus of the future power market research.In this paper

apower market trading mechanism based on energy efficiency is pro.posed.The user energy efficiency as an important parameter to regu.late the user’s basic electricity will help improve the overall energyefficiency level of society.A power market transaction model consid.ering generation side and user side strategy is established

and a sim.ulation program is compiled by Matlab to simulate the transaction indifferent conditions.The simulation results indicate that the averageclearing method is applicable to the market environment where therelationship between supply and demand varies greatly

and uniformclearing pricing model is more applicable to the market environmentwith relatively stable supply and demand relationship.