IDEAS home Printed from https://ideas.repec.org/a/eee/ejores/v286y2020i1p203-217.html
   My bibliography  Save this article

Carbon pricing initiatives-based bi-level pollution routing problem

Author

Listed:
  • Qiu, Rui
  • Xu, Jiuping
  • Ke, Ruimin
  • Zeng, Ziqiang
  • Wang, Yinhai

Abstract

The pollution-routing problem aims to route a number of vehicles and determines their speeds on each route segment to minimize total cost, including fuel, emission and driver costs. Recently, carbon pricing initiatives have been widely implemented worldwide. With consideration of the interactions between carbon pricing initiatives and freight schedules, this paper presents a carbon pricing initiatives-based bi-level pollution routing problem involving an authority and a freight company. An interactive solution approach integrating a fuzzy logic controlled particle swarm optimization and a modified adaptive large neighborhood search heuristic is designed to search for solutions for the carbon pricing initiatives-based bi-level pollution routing problem. Computational experiments and analysis are then conducted to shed light on the influence of carbon pricing initiatives on carbon emissions and the total cost of freight companies. In this part, extended models for the carbon pricing initiatives-based bi-level pollution routing problem with a freight company delivering to multiple regions and with multiple freight companies are proposed and computed using the algorithms based on the interactive solution approach. The results indicate that the proposed method can promote freight company improvements in emission performance, and assist authorities in making decisions for road freight transport carbon emission reduction.

Suggested Citation

  • Qiu, Rui & Xu, Jiuping & Ke, Ruimin & Zeng, Ziqiang & Wang, Yinhai, 2020. "Carbon pricing initiatives-based bi-level pollution routing problem," European Journal of Operational Research, Elsevier, vol. 286(1), pages 203-217.
    • Handle: RePEc:eee:ejores:v:286:y:2020:i:1:p:203-217
    DOI: 10.1016/j.ejor.2020.03.012
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0377221720302265
    Download Restriction: Full text for ScienceDirect subscribers only
    File URL: https://libkey.io/10.1016/j.ejor.2020.03.012?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. World Bank & Ecofys, "undated". "Carbon Pricing Watch 2017," World Bank Publications - Reports 26565, The World Bank Group.
    2. Jenkins, Jesse D., 2014. "Political economy constraints on carbon pricing policies: What are the implications for economic efficiency, environmental efficacy, and climate policy design?," Energy Policy, Elsevier, vol. 69(C), pages 467-477.
    3. Tol, Richard S. J., 2005. "The marginal damage costs of carbon dioxide emissions: an assessment of the uncertainties," Energy Policy, Elsevier, vol. 33(16), pages 2064-2074, November.
    4. Neungmatcha, Woraya, 2016. "Multi-objective particle swarm optimization for mechanical harvester route planning of sugarcane field operationsAuthor-Name: Sethanan, Kanchana," European Journal of Operational Research, Elsevier, vol. 252(3), pages 969-984.
    5. Yi, Wenqi & Nozick, Linda & Davidson, Rachel & Blanton, Brian & Colle, Brian, 2017. "Optimization of the issuance of evacuation orders under evolving hurricane conditions," Transportation Research Part B: Methodological, Elsevier, vol. 95(C), pages 285-304.
    6. Bektas, Tolga & Laporte, Gilbert, 2011. "The Pollution-Routing Problem," Transportation Research Part B: Methodological, Elsevier, vol. 45(8), pages 1232-1250, September.
    7. Ribeiro, Suzana K & Kobayashi, Shigeki & Beuthe, Michel & Gasca, Jorge & Greene, David & Lee, David S. & Muromachi, Yasunori & Newton, Peter J. & Plotkin, Steven & Sperling, Daniel & Wit, Ron & Zhou, , 2007. "Transportation and its Infrastructure," Institute of Transportation Studies, Working Paper Series qt98m5t1rv, Institute of Transportation Studies, UC Davis.
    8. Chung, Sung Hoon & Kwon, Changhyun, 2015. "Multi-period planning for electric car charging station locations: A case of Korean Expressways," European Journal of Operational Research, Elsevier, vol. 242(2), pages 677-687.
    9. Esposito Amideo, A. & Scaparra, M.P. & Kotiadis, K., 2019. "Optimising shelter location and evacuation routing operations: The critical issues," European Journal of Operational Research, Elsevier, vol. 279(2), pages 279-295.
    10. Fukasawa, Ricardo & He, Qie & Song, Yongjia, 2016. "A disjunctive convex programming approach to the pollution-routing problem," Transportation Research Part B: Methodological, Elsevier, vol. 94(C), pages 61-79.
    11. Koç, Çağrı & Bektaş, Tolga & Jabali, Ola & Laporte, Gilbert, 2014. "The fleet size and mix pollution-routing problem," Transportation Research Part B: Methodological, Elsevier, vol. 70(C), pages 239-254.
    12. Farahani, Reza Zanjirani & Miandoabchi, Elnaz & Szeto, W.Y. & Rashidi, Hannaneh, 2013. "A review of urban transportation network design problems," European Journal of Operational Research, Elsevier, vol. 229(2), pages 281-302.
    13. Long, Jiancheng & Szeto, W.Y. & Huang, Hai-Jun, 2014. "A bi-objective turning restriction design problem in urban road networks," European Journal of Operational Research, Elsevier, vol. 237(2), pages 426-439.
    14. Carrara, Samuel & Longden, Thomas, 2017. "Freight Futures: The Potential Impact of Road Freight on Climate Policy," MITP: Mitigation, Innovation and Transformation Pathways 253731, Fondazione Eni Enrico Mattei (FEEM).
    15. Franceschetti, Anna & Honhon, Dorothée & Van Woensel, Tom & Bektaş, Tolga & Laporte, Gilbert, 2013. "The time-dependent pollution-routing problem," Transportation Research Part B: Methodological, Elsevier, vol. 56(C), pages 265-293.
    16. Kellner, Florian & Schneiderbauer, Miriam, 2019. "Further insights into the allocation of greenhouse gas emissions to shipments in road freight transportation: The pollution routing game," European Journal of Operational Research, Elsevier, vol. 278(1), pages 296-313.
    17. Chang, Zhiqi & Song, Shiji & Zhang, Yuli & Ding, Jian-Ya & Zhang, Rui & Chiong, Raymond, 2017. "Distributionally robust single machine scheduling with risk aversion," European Journal of Operational Research, Elsevier, vol. 256(1), pages 261-274.
    18. Demir, Emrah & Bektaş, Tolga & Laporte, Gilbert, 2014. "A review of recent research on green road freight transportation," European Journal of Operational Research, Elsevier, vol. 237(3), pages 775-793.
    19. Turkensteen, Marcel, 2017. "The accuracy of carbon emission and fuel consumption computations in green vehicle routing," European Journal of Operational Research, Elsevier, vol. 262(2), pages 647-659.
    20. Kramer, Raphael & Maculan, Nelson & Subramanian, Anand & Vidal, Thibaut, 2015. "A speed and departure time optimization algorithm for the pollution-routing problem," European Journal of Operational Research, Elsevier, vol. 247(3), pages 782-787.
    21. Lin, Boqiang & Li, Xuehui, 2011. "The effect of carbon tax on per capita CO2 emissions," Energy Policy, Elsevier, vol. 39(9), pages 5137-5146, September.
    22. Kramer, Raphael & Subramanian, Anand & Vidal, Thibaut & Cabral, Lucídio dos Anjos F., 2015. "A matheuristic approach for the Pollution-Routing Problem," European Journal of Operational Research, Elsevier, vol. 243(2), pages 523-539.
    23. Ian W.H. Parry, 2002. "Pollution Taxes and Revenue Reycling," Chapters, in: Lawrence H. Goulder (ed.), Environmental Policy Making in Economies with Prior Tax Distortions, chapter 15, pages 235-248, Edward Elgar Publishing.
    24. David Anthoff & Richard Tol, 2014. "Climate policy under fat-tailed risk: an application of FUND," Annals of Operations Research, Springer, vol. 220(1), pages 223-237, September.
    25. Koç, Çağrı & Bektaş, Tolga & Jabali, Ola & Laporte, Gilbert, 2016. "Thirty years of heterogeneous vehicle routing," European Journal of Operational Research, Elsevier, vol. 249(1), pages 1-21.
    26. G. Clarke & J. W. Wright, 1964. "Scheduling of Vehicles from a Central Depot to a Number of Delivery Points," Operations Research, INFORMS, vol. 12(4), pages 568-581, August.
    27. Raeesi, Ramin & Zografos, Konstantinos G., 2019. "The multi-objective Steiner pollution-routing problem on congested urban road networks," Transportation Research Part B: Methodological, Elsevier, vol. 122(C), pages 457-485.
    28. Chen, Wenbo, 2018. "Retailer-driven carbon emission abatement with consumer environmental awareness and carbon tax: Revenue-sharing versus Cost-sharingAuthor-Name: Yang, Huixiao," Omega, Elsevier, vol. 78(C), pages 179-191.
    29. Dekker, Rommert & Bloemhof, Jacqueline & Mallidis, Ioannis, 2012. "Operations Research for green logistics – An overview of aspects, issues, contributions and challenges," European Journal of Operational Research, Elsevier, vol. 219(3), pages 671-679.
    30. Sánchez-Díaz, Iván & Holguín-Veras, José & Ban, Xuegang (Jeff), 2015. "A time-dependent freight tour synthesis model," Transportation Research Part B: Methodological, Elsevier, vol. 78(C), pages 144-168.
    31. Zhen, Lu & Xu, Zhou & Wang, Kai & Ding, Yi, 2016. "Multi-period yard template planning in container terminals," Transportation Research Part B: Methodological, Elsevier, vol. 93(PB), pages 700-719.
    32. Barth, Matthew & Younglove, Theodore & Scora, George, 2005. "Development of a Heavy-Duty Diesel Modal Emissions and Fuel Consumption Model," Institute of Transportation Studies, Research Reports, Working Papers, Proceedings qt67f0v3zf, Institute of Transportation Studies, UC Berkeley.
    33. Demir, Emrah & Bektaş, Tolga & Laporte, Gilbert, 2012. "An adaptive large neighborhood search heuristic for the Pollution-Routing Problem," European Journal of Operational Research, Elsevier, vol. 223(2), pages 346-359.
    34. Samuel Pelletier & Ola Jabali & Gilbert Laporte, 2016. "50th Anniversary Invited Article—Goods Distribution with Electric Vehicles: Review and Research Perspectives," Transportation Science, INFORMS, vol. 50(1), pages 3-22, February.
    35. Demir, Emrah & Bektaş, Tolga & Laporte, Gilbert, 2014. "The bi-objective Pollution-Routing Problem," European Journal of Operational Research, Elsevier, vol. 232(3), pages 464-478.
    36. Duran-Micco, Javier & Vermeir, Evert & Vansteenwegen, Pieter, 2020. "Considering emissions in the transit network design and frequency setting problem with a heterogeneous fleet," European Journal of Operational Research, Elsevier, vol. 282(2), pages 580-592.
    37. Martí, Joana M. Comas & Tancrez, Jean-Sébastien & Seifert, Ralf W., 2015. "Carbon footprint and responsiveness trade-offs in supply chain network design," International Journal of Production Economics, Elsevier, vol. 166(C), pages 129-142.
    38. Jacomine Grobler & Andries Engelbrecht & Schalk Kok & Sarma Yadavalli, 2010. "Metaheuristics for the multi-objective FJSP with sequence-dependent set-up times, auxiliary resources and machine down time," Annals of Operations Research, Springer, vol. 180(1), pages 165-196, November.
    39. Macrina, Giusy & Laporte, Gilbert & Guerriero, Francesca & Di Puglia Pugliese, Luigi, 2019. "An energy-efficient green-vehicle routing problem with mixed vehicle fleet, partial battery recharging and time windows," European Journal of Operational Research, Elsevier, vol. 276(3), pages 971-982.
    40. Fred E. Benth & Geir Dahl & Carlo Mannino, 2012. "Computing Optimal Recovery Policies for Financial Markets," Operations Research, INFORMS, vol. 60(6), pages 1373-1388, December.
    41. Surendra Reddy Kancharla & Gitakrishnan Ramadurai, 2019. "Multi-depot Two-Echelon Fuel Minimizing Routing Problem with Heterogeneous Fleets: Model and Heuristic," Networks and Spatial Economics, Springer, vol. 19(3), pages 969-1005, September.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Qiu, Rui & Xu, Jiuping & Zeng, Ziqiang & Chen, Xin & Wang, Yinhai, 2022. "Carbon tax policy-induced air travel carbon emission reduction and biofuel usage in China," Journal of Air Transport Management, Elsevier, vol. 103(C).
    2. González-Díaz, Julio & González-Rodríguez, Brais & Leal, Marina & Puerto, Justo, 2021. "Global optimization for bilevel portfolio design: Economic insights from the Dow Jones index," Omega, Elsevier, vol. 102(C).
    3. He, Dongdong & Guan, Wei, 2023. "Promoting service quality with incentive contracts in rural bus integrated passenger-freight service," Transportation Research Part A: Policy and Practice, Elsevier, vol. 175(C).
    4. Nasreddine Ouertani & Hajer Ben-Romdhane & Saoussen Krichen & Issam Nouaouri, 2022. "A vector evaluated evolutionary algorithm with exploitation reinforcement for the dynamic pollution routing problem," Journal of Combinatorial Optimization, Springer, vol. 44(2), pages 1011-1038, September.
    5. Huang, Qian & Xu, Jiuping, 2023. "Carbon tax revenue recycling for biomass/coal co-firing using Stackelberg game: A case study of Jiangsu province, China," Energy, Elsevier, vol. 272(C).

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Mohammad Asghari & Seyed Mohammad Javad Mirzapour Al-E-Hashem, 2021. "Green vehicle routing problem: A state-of-the-art review," Post-Print hal-03182944, HAL.
    2. Asghari, Mohammad & Mirzapour Al-e-hashem, S. Mohammad J., 2021. "Green vehicle routing problem: A state-of-the-art review," International Journal of Production Economics, Elsevier, vol. 231(C).
    3. Emna Marrekchi & Walid Besbes & Diala Dhouib & Emrah Demir, 2021. "A review of recent advances in the operations research literature on the green routing problem and its variants," Annals of Operations Research, Springer, vol. 304(1), pages 529-574, September.
    4. Bektaş, Tolga & Ehmke, Jan Fabian & Psaraftis, Harilaos N. & Puchinger, Jakob, 2019. "The role of operational research in green freight transportation," European Journal of Operational Research, Elsevier, vol. 274(3), pages 807-823.
    5. Koç, Çağrı & Bektaş, Tolga & Jabali, Ola & Laporte, Gilbert, 2016. "The impact of depot location, fleet composition and routing on emissions in city logistics," Transportation Research Part B: Methodological, Elsevier, vol. 84(C), pages 81-102.
    6. Xiao, Yiyong & Zuo, Xiaorong & Huang, Jiaoying & Konak, Abdullah & Xu, Yuchun, 2020. "The continuous pollution routing problem," Applied Mathematics and Computation, Elsevier, vol. 387(C).
    7. Xiao, Yiyong & Konak, Abdullah, 2016. "The heterogeneous green vehicle routing and scheduling problem with time-varying traffic congestion," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 88(C), pages 146-166.
    8. Huang, Yixiao & Zhao, Lei & Van Woensel, Tom & Gross, Jean-Philippe, 2017. "Time-dependent vehicle routing problem with path flexibility," Transportation Research Part B: Methodological, Elsevier, vol. 95(C), pages 169-195.
    9. Ehmke, Jan Fabian & Campbell, Ann M. & Thomas, Barrett W., 2018. "Optimizing for total costs in vehicle routing in urban areas," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 116(C), pages 242-265.
    10. Brunner, Carlos & Giesen, Ricardo & Klapp, Mathias A. & Flórez-Calderón, Luz, 2021. "Vehicle routing problem with steep roads," Transportation Research Part A: Policy and Practice, Elsevier, vol. 151(C), pages 1-17.
    11. Behnke, Martin & Kirschstein, Thomas & Bierwirth, Christian, 2021. "A column generation approach for an emission-oriented vehicle routing problem on a multigraph," European Journal of Operational Research, Elsevier, vol. 288(3), pages 794-809.
    12. Zhang, Shuai & Gajpal, Yuvraj & Appadoo, S.S. & Abdulkader, M.M.S., 2018. "Electric vehicle routing problem with recharging stations for minimizing energy consumption," International Journal of Production Economics, Elsevier, vol. 203(C), pages 404-413.
    13. Fukasawa, Ricardo & He, Qie & Song, Yongjia, 2016. "A disjunctive convex programming approach to the pollution-routing problem," Transportation Research Part B: Methodological, Elsevier, vol. 94(C), pages 61-79.
    14. Turkensteen, Marcel, 2017. "The accuracy of carbon emission and fuel consumption computations in green vehicle routing," European Journal of Operational Research, Elsevier, vol. 262(2), pages 647-659.
    15. Nasreddine Ouertani & Hajer Ben-Romdhane & Saoussen Krichen & Issam Nouaouri, 2022. "A vector evaluated evolutionary algorithm with exploitation reinforcement for the dynamic pollution routing problem," Journal of Combinatorial Optimization, Springer, vol. 44(2), pages 1011-1038, September.
    16. Çağrı Koç, 2019. "Analysis of vehicle emissions in location-routing problem," Flexible Services and Manufacturing Journal, Springer, vol. 31(1), pages 1-33, March.
    17. Franceschetti, Anna & Demir, Emrah & Honhon, Dorothée & Van Woensel, Tom & Laporte, Gilbert & Stobbe, Mark, 2017. "A metaheuristic for the time-dependent pollution-routing problem," European Journal of Operational Research, Elsevier, vol. 259(3), pages 972-991.
    18. Cheng, Chun & Yang, Peng & Qi, Mingyao & Rousseau, Louis-Martin, 2017. "Modeling a green inventory routing problem with a heterogeneous fleet," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 97(C), pages 97-112.
    19. Sun, Wei & Yu, Yang & Wang, Junwei, 2019. "Heterogeneous vehicle pickup and delivery problems: Formulation and exact solution," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 125(C), pages 181-202.
    20. Kramer, Raphael & Subramanian, Anand & Vidal, Thibaut & Cabral, Lucídio dos Anjos F., 2015. "A matheuristic approach for the Pollution-Routing Problem," European Journal of Operational Research, Elsevier, vol. 243(2), pages 523-539.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:ejores:v:286:y:2020:i:1:p:203-217. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.elsevier.com/locate/eor .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.