  To the best of our knowledge, this paper proposes for the first time a design
of a continuous local flexibility market that explicitly considers network
constraints. Continuous markets are expected to be the most appropriate design
option during the early stages of local flexibility markets, where insufficient
liquidity can hinder market development. At the same time, increasingly loaded
distribution systems require to explicitly consider network constraints in
local flexibility market clearing in order to help resolve rather than
aggravate local network problems, such as line congestion and voltage issues.
This paper defines the essential design considerations, introduces the local
flexibility market clearing algorithm, and -- aiming to establish a starting
point for future research -- discusses design options and research challenges
that emerge during this procedure which require further investigation.
