Abstract
Sustainability in power supply chain has been supported by emission reduction of coal-fired power generation and increasing renewable energy power generation. Under the power market reform of direct power purchase transactions, this paper focuses on the channel selection and emission reduction decisions of power supply chain. From the theoretical perspective, this paper develops the decision-making models of centralized and decentralized power supply chain, which consist of one renewable energy power generation enterprise, one coal-fired power plant and one power grid enterprise. The optimal strategies of power quantities and profits for power supply chain members and their corresponding numerical experiments are analyzed in different cases. The results show that there are qA1Nc*<qA1Lc* for renewable energy power generation enterprise A, qB1Nc*>qB1Lc* and eBNc*>eBLc* for coal-fired power plant B, which indicate that the direct power purchase channel in the centralized scenario is conducive to promoting the transaction quantity of renewable energy power generation, as well as the on-grid power quantity and emission reduction efforts of coal-fired power plant B. Furthermore, the profit of whole power supply chain could be enhanced by the increasing on-grid power preference coefficient of coal-fired power generation, subsidy for renewable energy power generation and preference coefficient for clean production, and by the decreasing emission reduction cost coefficient of coal-fired power plant. Additionally, the emission reduction effort of coal-fired power plant is positively relevant with preference coefficient for clean production, whereas it is negatively relevant with power grid wheeling charge, emission reduction cost coefficient and subsidy for renewable energy power generation. Our findings can provide useful managerial insights for policymakers and enterprises in the sustainability of power supply chain.
Highlights
Carbon emissions are closely related to energy consumption, especially of coal-fired power generation [1]
(1) The on-grid power preference coefficient of coal-fired power generation has a significant influence on the on-grid power quantity of renewable energy power generation enterprise A in traditional single-channel power supply chain
(4) The emission reduction effort of coal-fired power plant B could be enhanced by preference coefficient for clean production, while reduced by power grid wheeling charge, emission reduction cost coefficient and subsidy for renewable energy power generation
Summary
Carbon emissions are closely related to energy consumption, especially of coal-fired power generation [1]. To address these questions, this paper conducted profit and emission reduction decision models under the scenarios of centralized and decentralized decision in traditional single-channel and dual-channel when considering direct power purchase transaction by large power users. This paper conducted profit and emission reduction decision models under the scenarios of centralized and decentralized decision in traditional single-channel and dual-channel when considering direct power purchase transaction by large power users It provided managerial insights on dual-channel power supply chain under the mechanism of direct power purchasing and the regulation of emission reduction by coal-fired power plants, and helped to design the coordination contract to achieve the Pareto improvement of the decentralized and centralized decision-making in power supply chain. All proofs of this paper are provided in Appendices A and B
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