  This paper proposes a novel continuous Local Flexibility Market where active
power flexibility located in the distribution system can be traded. The market
design engages the Market Operator, the Distribution System Operator and Market
Participants with dispatchable assets. The proposed market operates in a single
distribution system and considers network constraints via AC network
sensitivities, calculated at an initial network operating point. Trading is
possible when AC network constraints are respected and when anticipated network
violations are alleviated or resolved. The implementation allows for partial
bid matching and is computationally light, therefore, suitable for continuous
trading applications. The proposed design is thoroughly described and is
demonstrated in a test distribution system. It is shown that active power
trading in the proposed market design can lead to resolution of line overloads.
