For the 2.4 GHz active RFID to be successful in the market, one of the requirements is the increased battery life. However, currently we do not have any accurate power consumption estimation method. In this study we develop a simulation model, which can be used to estimate power consumption of tag accurately. Six different simulation models are proposed depending on collision algorithm and query command method. To improve estimation accuracy, we classify tag operating modes as the wake-up receive, UHF receive, sleep timer, tag response, and sleep modes. Power consumption and operating time are identified according to the tag operating mode. Query command for simplifying collection and ack command procedure and newly developed collision control algorithm are used in the simulation.Other performance measures such as throughput, recognition time for multi-tags, tag recognition rate including power consumption are compared with those from the current standard ISO/IEC 18000-7.