Abstract
This paper proposes an energy storage management for electrical energy supply chain system (EESCS) involving a power plant and a transmission station under carbon emission investigation. The transmission station faces stochastic electricity demand from household and uses a continuous review policy to control electrical energy storage. The power plant has two power generations, namely green power generation and regular power generation. The green power generation is cleaner than the regular one, thus it generates less emissions. Although the green power generation is more environmentally, however, its electricity production cost is more expensive than the regular one. A carbon tax is implemented in the investigated system to lessen the amount of emissions coming from electricity production. An efficient algorithm is developed to solve the problem and a numerical example is presented to show the applicability of the model and to explore the behaviour of the model.
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