Generation-rights trade is an efficient approach for optimizing the generation structure and implementing energy-saving. Binding transmission constraints， i.e.， transmission congestion， might lead to the incomplete implementation of generation-rights trade（GRT） and its curtailment has to be carried out to maintain the system security. In this case， output regulation of generation units excluding the GRT capacity can change the load flow pattern of the power system concerned， and hence reduce the curtailed amount of generation-rights trade. Given this background， a new congestion dispatch model for generation-rights trade is developed with the output regulation of units excluding the GRT capacity. To cover the extra compensatory payment caused by output regulation， a feasible settlement scheme is presented. Finally， case studies are carried out for demonstrating the feature of the proposed model and method.