Analysis of Carbon Emission Reduction in a Dual-Channel Supply Chain with Cap-And-Trade Regulation and Low-Carbon Preference

Wang, Xiaoyan; Xue, Minggao; Xing, Lin

doi:10.3390/su10030580

Cited by 49 publications

(27 citation statements)

References 44 publications

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“…. , 2016, (4) where y nt denotes the CO 2 emissions and intensities for a given province n in year t, as described above. China sets its mitigation target by the CO 2 emissions intensity, which is the emissions per output.…”

Section: The Estimation Modelmentioning

confidence: 99%

“…The effectiveness of the EU ETS, as the first and largest multinational ETS in the world, on reducing CO 2 emissions has been well documented. Although there have been lots of theoretical studies of China's ETS aspect [3][4][5], we still know little about the causal impact of China's pilot ETS project on CO 2 abatement. Therefore, it deserves further empirical research.…”

Section: Introductionmentioning

confidence: 99%

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Effect of the Emissions Trading Scheme on CO2 Abatement in China

2019

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This article takes advantage of the pilot Emissions Trading Scheme (ETS) project to estimate the causal impact of the ETS on CO2 abatement in China. The CO2 emissions and CO2 intensities of each province are calculated by using the fossil fuel data of 30 provincial administration regions from 2006 to 2016. Then difference in difference (DiD) models and propensity score matching (PSM) with panel data are applied to estimate the causal impact of the pilot ETS project. Results show that the pilot regions reduce their CO2 emissions and intensities more than the non-pilot regions under the pilot ETS project. The pilot ETS project significantly induced 12% decreases in the nominal CO2 intensity and 7.6% decrease in the real CO2 intensity, after controlling for regional heterogeneity, but its reduction effects on CO2 emissions are insignificant. Decreasing the proportion of coal to total energy consumption may be the main channel of the pilot ETS project inducing CO2 abatement. The estimated results for control variables indicate that upgrading industrial structures, attracting FDI, and purifying the export structure have significant effects on CO2 abatement.

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Section: The Estimation Modelmentioning

confidence: 99%

Section: Introductionmentioning

confidence: 99%

Effect of the Emissions Trading Scheme on CO2 Abatement in China

2019

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“…By introducing a dual-channel supply coordination issue, the e-commerce retailer can deliver products from its fulfillment center or vendor's warehouse based on the customer's geographic location. Wang et al [23] addressed the problem that the reduction of carbon emissions is driven by cap-and-trade regulation and consumers' low-carbon preference in a dual-channel supply chain and analyzed the optimal pricing strategies and profits for supply chain members. Zhang et al [24] investigated the choice of recycling strategy based on dual channels.…”

Section: Literature Reviewmentioning

confidence: 99%

Green Manufacturing Strategy Considering Retailers’ Fairness Concerns

Huan-yong

Zhang

et al. 2019

Sustainability

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This paper addresses the problem of green manufacturing decision making for a green dual-channel supply chain (SC). In the investigated SC, the manufacturer will decide whether to adopt green manufacturing under the influence of the retailer’s fairness concern-based dual-channel. Thus, we discuss two decision scenarios: the no green manufacturing strategy with retailer fairness (NM model), and green manufacturing with retailer fairness (GM model). Our study has several findings: Firstly, adopting a green manufacturing strategy is not always beneficial to supply-chain members when a retailer has fairness. In particular, when fairness is at a relatively high level, the manufacturer will not adopt green manufacturing. Secondly, under green manufacturing, the product’s green degree and subsidies have a positive impact on the price and demand and the members’ profit and utility. Besides, the subsidies and retailer fairness have a counter effect on the optimal decision. Thirdly, comparing the two scenarios (NM & GM), we found that the channel price of the GM model is lower than the NM model. Finally, from the perspective of the supply chain system, the system tends toward the manufacturer adopting green manufacturing and maintaining retailer fairness concerns at a lower level.

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“…Finally, they conduct an extensive computational experiment to evaluate the performance of their algorithm and develop managerial implications through their sensitivity analysis. The authors of [26] consider a Stackelberg game of a dual-supply chain, which contains an online direct channel and offline traditional retail channel. Then, it discusses the pricing decision in the supply chain as well as the impact of the CAT system on emission reduction policies.…”

Section: Literature Reviewmentioning

confidence: 99%

The Optimal Emission Decisions of Sustainable Production with Innovative Baseline Credit Regulations

2019

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In the era of the fourth industrial revolution, the international community is striving to establish a coordinated system to prevent fatal climate change in a global sense. As a result of such changes in business environments, a new issue, sustainability, has recently presented a paradigm shift and new research opportunity in which the theories and practices in traditional production and operations management are being reinterpreted and reapplied in relation to this emerging issue. Under this research background, we consider an optimal emission-trading problem under a cap-and-trade (CAT) emission regulation when the customers' demand is given as an arbitrary probability distribution. Such a CAT approach to reduce the amount of emissions is a normative system for the sustainable production of manufacturing firms, which is also closely related to a well-known open innovation in literature of inventory management. Then, we formulate two stochastic inventory optimization models, which can be applied immediately for two famous CAT policies that exist in reality. In particular, our objective is to draw theoretical and practical implications for baseline credit emission regulations, which are innovative and government-led emission regulation policies, with a well-known newsvendor analysis. For our analytical results, we first show that our objective functions are piecewise linear and (quasi)-concave. Thus, it is found that there exists a unique optimal solution to the problem. Second, we successfully obtain the closed-form optimal solutions for the two models considered. Finally, we conduct a sensitivity analysis through a comparative static analysis to examine how the model parameters can affect the optimal solution in each model. All these analytical results and implications are consistent with previous studies in the literature, as well as with our insights for the models.

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Analysis of Carbon Emission Reduction in a Dual-Channel Supply Chain with Cap-And-Trade Regulation and Low-Carbon Preference

Cited by 49 publications

References 44 publications

Effect of the Emissions Trading Scheme on CO2 Abatement in China

Effect of the Emissions Trading Scheme on CO2 Abatement in China

Green Manufacturing Strategy Considering Retailers’ Fairness Concerns

The Optimal Emission Decisions of Sustainable Production with Innovative Baseline Credit Regulations

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