scholarly journals Designing a Sustainable Biofuel Supply Chain by Considering Carbon Policies: A Case Study in Iran

2020 ◽  
Author(s):  
Naeme Zarrinpoor ◽  
Aida Khani
Keyword(s):  
Supply Chain ◽  
Trade Policy ◽  
Carbon Emissions ◽  
Carbon Emission ◽  
Fossil Fuels ◽  
Multi Objective ◽  
Switch Grass ◽  
Biofuel Supply Chain ◽  
Carbon Offset

Abstract Background: Population growth and increasing the utilization of fossil fuels have increased carbon emissions and the global warming phenomenon with detrimental impacts on the human life and the environment. Therefore, finding a sustainable substitution for fossil fuels becomes a great challenge for all societies from all over the world. Renewable energies such as biofuels are the appropriate alternative to decrease environmental concerns.Methods: This study develops a multi-objective multi-period multi-echelon biofuel supply chain (BSC) from switch grass regarding economic, environmental and social aspects of the sustainability. For considering the environmental aspect, four carbon policies are taken into account; namely the carbon cap, the carbon tax, the carbon trade and the carbon offset. The fuzzy interactive programming method is implemented to solve the multi-objective model and the fuzzy best-worst method (FMWM) is applied for weighting social objective components.Results: To illustrate the applicability of the model, an actual case study in Iran is considered. It is revealed that different solutions are obtained for the location of switch grass resources, preprocessing centers, and bio-refineries under different carbon policies. Numerical results also demonstrate that biofuel production and transportation activities have a great share in carbon emissions and BSC costs. Applying the carbon cap policy in the proposed case study decreases the carbon emission over 14% in comparison to the basic situation. Moreover, implementing the carbon trade policy increases the total BSC profit about 11% in comparison to the basic situation. The carbon offset policy plays a significant role in improving social considerations compared with other policies. Overall, since three aspects of sustainability have appropriate values under the carbon trade policy, it can be concluded that this policy is the most appropriate policy.Conclusions: The proposed model can aid policy makers and governments to optimize the profitability of the BSC, the carbon emission reduction, and the social consideration, simultaneously.

scholarly journals Designing a sustainable biofuel supply chain by considering carbon policies: a case study in Iran

2021 ◽  
Vol 11 (1) ◽  
Author(s):  
Naeme Zarrinpoor ◽  
Aida Khani
Keyword(s):  
Trade Policy ◽  
Carbon Emissions ◽  
Fossil Fuels ◽  
Biofuel Production ◽  
Total Carbon ◽  
Multi Objective ◽  
Switch Grass ◽  
Regulatory Policies ◽  
The Social

Abstract Background Carbon emissions and global warming have increased as a result of population growth and greater usage of fossil fuels. Finding a long-term replacement for fossil fuels, such as biofuels, has become a major problem for energy supply management in recent years. Sustainability must be addressed as a key problem in building biofuel supply chains (BSCs), given the pressing need for societies to limit environmental consequences and promote social responsibility of company activities. Various modeling frameworks have been established so far to design a BSC. At the same time, no research exists that examines both the sustainable development paradigm and the influence of various carbon regulatory policies on the strategic and operational decisions made by BSCs. Methods This study develops a multi-objective, multi-period, multi-echelon BSC from switch grass regarding the economic, environmental and social aspects of sustainability. Four carbon policies are taken into account when assessing the environmental aspect: the carbon cap, the carbon tax, the carbon trade, and the carbon offset. To solve the multi-objective model, the fuzzy interactive programming method is used, and the fuzzy best–worst method is used to weight the social objective components. Results An actual case study in Iran is studied to demonstrate the model’s applicability. Under various carbon policies, different network configurations are obtained based on the location of switch grass resources and installed facilities. Biofuel production and transportation activities account for approximately 28% and 51% of total carbon emissions, respectively, according to numerical results. Furthermore, these activities account for roughly 62% of overall expenses. In the suggested case study, implementing the carbon trade policy reduces carbon emissions by more than 30% while increasing total profit by about 27%. In comparison to other policies, the carbon trade policy has a substantial impact on enhancing social considerations. Overall, the carbon trade policy can greatly improve the economic and environmental components of sustainability without significantly decreasing in the social sustainability. Conclusions The proposed model can assist policymakers and governments in simultaneously optimizing BSC profitability, carbon emission reduction, and social concern.

scholarly journals Achieve a low carbon supply chain through product mix

2017 ◽  
Vol 117 (10) ◽  
pp. 2468-2484 ◽  
Author(s):  
Xu Chen ◽  
Xiaojun Wang
Keyword(s):  
Supply Chain ◽  
Trade Policy ◽  
Carbon Emissions ◽  
Channel Structure ◽  
Low Carbon ◽  
Cap And Trade ◽  
Product Mix ◽  
Content Type ◽  
Carbon Supply ◽  
Trade Offs

Purpose In the era of climate change, industrial organizations are under increasing pressure from consumers and regulators to reduce greenhouse gas emissions. The purpose of this paper is to examine the effectiveness of product mix as a strategy to deliver the low carbon supply chain under the cap-and-trade policy. Design/methodology/approach The authors incorporate the cap-and-trade policy into the green product mix decision models by using game-theoretic approach and compare these decisions in a decentralized model and a centralized model, respectively. The research explores potential behavioral changes under the cap-and-trade in the context of a two-echelon supply chain. Findings The analysis results show that the channel structure has significant impact on both economic and environmental performances. An integrated supply chain generates more profits. In contrast, a decentralized supply chain has lower carbon emissions. The cap-and-trade policy makes a different impact on the economic and environmental performances of the supply chain. Balancing the trade-offs is critical to ensure the long-term sustainability. Originality/value The research offers many interesting observations with respect to the effect of product mix strategy on operational decisions and the trade-offs between costs and carbon emissions under the cap-and-trade policy. The insights derived from the analysis not only help firms to make important operational and strategic decisions to reduce carbon emissions while maintaining their economic competitiveness, but also make meaningful contribution to governments’ policy making for carbon emissions control.

scholarly journals Profit Distribution Model for Construction Supply Chain with Cap-and-Trade Policy

2019 ◽  
Vol 11 (4) ◽  
pp. 1215 ◽  
Author(s):  
Wen Jiang ◽  
Wenfei Lu ◽  
Qianwen Xu
Keyword(s):  
Supply Chain ◽  
Trade Policy ◽  
Emission Reduction ◽  
Carbon Emission ◽  
Cap And Trade ◽  
Carbon Emission Reduction ◽  
Profit Distribution ◽  
General Contractor ◽  
Cost Coefficient ◽  
Pure Competition

Cap-and-trade has become one of the most widely used carbon emission limitation methods in the world. Its constraints have a great impact on the carbon emission reduction decisions and production operations of supply chain enterprises, as well as profit distribution. In the construction supply chain, there are few studies on the profit distribution and emission reduction decisions considering cap-and-trade policy. This paper investigates the profit distribution model of a two-echelon construction supply chain consisting of a general contractor and a subcontractor with cap-and-trade policy. Using game theory and Shapley value method, the optimal emission reduction decisions and profit distribution under three cooperation modes of pure competition, co-opetition, and pure cooperation are obtained, respectively. The research shows that the profits of the construction supply chain are increasing in pure competition, co-opetition, and pure cooperation scenarios, and the emission reduction amount of the construction supply chain in the case of pure cooperation is greater than that of pure competition and co-opetition. The carbon emission reduction amount under the co-opetition scenario is not always greater than that under the pure competition scenario, which depends on the emission reduction cost coefficient relationship of general contractor and subcontractor. When the cost coefficient of emission reduction of the general contractor is less than that of the subcontractor, the emission reduction amount under pure competition is larger than that under co-opetition. A numerical study is carried out to verify the conclusions and illustrated the profits of the supply chain decreased with the increase of carbon emission reduction cost coefficient, and had nothing to do with the emission reduction efficiency of enterprises.

scholarly journals Significance of multi-objective optimization in logistics problem for multi-product supply chain network under the intuitionistic fuzzy environment

2021 ◽  
Author(s):  
Srikant Gupta ◽  
Ahteshamul Haq ◽  
Irfan Ali ◽  
Biswajit Sarkar
Keyword(s):  
Decision Making ◽  
Supply Chain ◽  
Real Life ◽  
Decision Makers ◽  
Supply Chain Network ◽  
Multi Objective ◽  
Intuitionistic Fuzzy ◽  
Fuzzy Environment ◽  
Hierarchical Decision

AbstractDetermining the methods for fulfilling the continuously increasing customer expectations and maintaining competitiveness in the market while limiting controllable expenses is challenging. Our study thus identifies inefficiencies in the supply chain network (SCN). The initial goal is to obtain the best allocation order for products from various sources with different destinations in an optimal manner. This study considers two types of decision-makers (DMs) operating at two separate groups of SCN, that is, a bi-level decision-making process. The first-level DM moves first and determines the amounts of the quantity transported to distributors, and the second-level DM then rationally chooses their amounts. First-level decision-makers (FLDMs) aimed at minimizing the total costs of transportation, while second-level decision-makers (SLDM) attempt to simultaneously minimize the total delivery time of the SCN and balance the allocation order between various sources and destinations. This investigation implements fuzzy goal programming (FGP) to solve the multi-objective of SCN in an intuitionistic fuzzy environment. The FGP concept was used to define the fuzzy goals, build linear and nonlinear membership functions, and achieve the compromise solution. A real-life case study was used to illustrate the proposed work. The obtained result shows the optimal quantities transported from the various sources to the various destinations that could enable managers to detect the optimum quantity of the product when hierarchical decision-making involving two levels. A case study then illustrates the application of the proposed work.

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