  The global trend of energy deregulation has led to the market mechanism
replacing some functionality of load frequency control (LFC). Accordingly,
information exchange among participating generators and the market operator
plays a crucial role in optimizing social utility. However, privacy has been an
equally pressing concern in such settings. This conflict between individuals'
privacy and social utility has been a long-standing challenge in market
mechanism literature as well as in Cyber-Physical Systems (CPSs). In this
paper, we propose a novel encrypted market architecture that leverages a hybrid
encryption method and two-party computation protocols, enabling the secure
synthesis and implementation of an optimal price-based market mechanism. This
work spotlights the importance of secure and efficient outsourcing of
controller synthesis, which is a critical element within the proposed
framework. A two-area LFC model is used to conduct a case study.
