Analysis on the Optimal Recycling Path of Chinese Lead-Acid Battery under the Extended Producer Responsibility System

Abstract

The pollution control problem of discarded lead-acid batteries has become increasingly prominent in China. An extended producer responsibility system must be implemented to solve the problem of recycling and utilization of waste lead batteries. Suppose the producer assumes responsibility for the entire life cycle of lead batteries. In that case, it will effectively reduce environmental pollution caused by non-compliant disposal of waste lead batteries, reduce environmental pollution, and achieve the sustainable development of lead resources. Based on the operating mechanism of the extended responsibility system for lead-acid battery producers in China, this article considers three recycling channel structures: recycling only by manufacturers (mode M), recycling by the union (mode R), and third-party recycling (mode C). This article comprehensively compares the differences between the three recycling channels. The research results show that: (1) under the EPR system, the choice of production companies is affected by the recovery rate and profit rate. (2) By comparing different recycling channel models, we found that the recovery rate of independent recycling by the manufacturer is the largest. Still, the profit rate of the manufacturer that entrusts the alliance (M) to recycle is the highest. The manufacturer can entrust to alliance or independent recycling of waste lead batteries according to the different profit rates and recovery rates. (3) From the perspective of the supply chain, independent recycling (M) by production companies or recycling (R) by the commissioned union may be the best. The choice of recycling channels for producers depends on independent recycling and commissioning alliance’ recycling costs and reuse costs.

Consumer Willingness to Recycle The Wasted Batteries of Electric Vehicles in the Era of Circular Economy

“…The literature primarily discusses four types of recycling systems: (1) a recycling mode driven by manufacturers (Mode ), who recycle WBEVs directly from consumers through their sales channels [20,21]; (2) a recycling mode driven by retailers (Mode ), whom the manufacturers have encouraged to take on the responsibility for recycling [4];…”

“…(3) a recycling mode (Mode ) in which producers outsource the recycling process to wellequipped third parties [21,22]; (4) a recycling mode (Mode ), that is often constituted of manufacturers or sellers and has the benefit of a scale economy [21].…”

“…The literature primarily discusses four types of recycling systems: (1) a recycling mode driven by manufacturers (Mode M ), who recycle WBEVs directly from consumers through their sales channels [20,21]; (2) a recycling mode driven by retailers (Mode R ), whom the manufacturers have encouraged to take on the responsibility for recycling [4]; (3) a recycling mode (Mode TP ) in which producers outsource the recycling process to well-equipped third parties [21,22]; (4) a recycling mode (Mode A ), that is often constituted of manufacturers or sellers and has the benefit of a scale economy [21].…”

“…Tang et al [4] investigated the social welfare implications of single-channel recycling modes (as Mode M , Mode R , and Mode TP ) as well as competing dual-channel recycling modes (as mode Mode M,R , Mode M,TP , and Mode R,TP ), concluding that Mode M,R is the optimal recycling method. According to Zan and Zhang [21], the ideal recycling method for manufacturers is determined by the trade-offs between recycling and reuse costs. Li [22] examined the EV battery supply chain using Mode M , Mode R , Mode TP , and dual-channel modes, claiming that the best mode to use is determined by competition and third-party economies of scale.…”

Research on Closed-Loop Supply Chain Decision Making of Power Battery Considering Subsidy Transfer under EPR System

“…Current research shows that the operation of a CLSC under EPR is influenced by several different factors. Zan et al [52] showed that producers are responsible for the whole life cycle of lead batteries. This significantly alleviates the environmental pollution caused by the illegal disposal of used lead batteries and contributes to the sustainable development of leadership resources.…”