Identifying effective incentive policies for promoting widespread adoption of shore power technology

Abstract

Shore power (SP) is a key technology to reduce emissions in a port. The deployment of SP has faced a significant challenge due to its high management costs. This study aims to compare various incentive policies that can promote SP from the perspectives of pollutant penalty, berth allocation, construction subsidy, electricity subsidy, and their combinations. To identify effective incentive policies for wide use of SP from both sides, this paper develops a cost-minimizing nonlinear mixed-integer programming model. The model optimizes decisions regarding SP deployment, berth allocation, and ship service sorting simultaneously. The performance of these incentive policies is evaluated in a bulk terminal scenario. Sensitivity analysis of key parameters was conducted to examine the impact of policies. The results show that all the proposed policies can effectively promote SP use and emissions reduction. Policymakers are recommended to implement a mixed incentive policy instead of a single incentive policy.