Can government subsidy and marine carbon capture, utilization and storage technology improve the decision level of supply chain intellectual property pledge financing?

Abstract

Although it is an innovative technology with great potential for emission reduction, there are some problems such as high financing risk and lack of market for related products in marine carbon capture, utilization and storage (CCUS) technology. Its evolution depends largely on the support of the government. Based on supply chain perspective, this article constructs a two-level supply chain composed of one manufacturer and only one retailer. The intellectual property pledge financing decisions for the supply chain marine CCUS technology in no financing model, without government subsidy model, and under government subsidy model are considered separately. Through numerical simulation, the effect of government subsidies and marine CCUS technology intellectual property pledge financing on the optimum making decision and earning of members in supply chain are emphatically analyzed. According to the research results, the intellectual property pledge financing and government subsidy policy of marine CCUS technology have different impacts on manufacturers with diverse own funds and their supply chains. For the subsidy decision, the government needs to combine the capital constraints of the supply chain and the product's marine CCUS level to formulate the optimal decision, so as to encourage as many companies as possible to develop products related to marine CCUS product. This paper not only provides reference for the intellectual property pledge financing decision of marine CCUS technology, but also provides practical guidance for the government to lay down subsidy policies for the application and growth of marine CCUS technology.