IDEAS home Printed from https://ideas.repec.org/a/gam/jsusta/v8y2016i8p814-d76255.html
   My bibliography  Save this article

Novel Role of Rural Official Organization in the Biomass-Based Power Supply Chain in China: A Combined Game Theory and Agent-Based Simulation Approach

Author

Listed:
  • Kaiyan Luo

    (School of Economics and Management, North China Electric Power University, Beijing 102206, China)

  • Xingping Zhang

    (School of Economics and Management, North China Electric Power University, Beijing 102206, China)

  • Qinliang Tan

    (School of Economics and Management, North China Electric Power University, Beijing 102206, China)

Abstract

Developing biomass-based power generation is helpful for China to reduce the dependence on fossil fuels and to release the targets of carbon emission peak. The decentralized farming method leads to Chinese farmers’ weak willingness to collect and sell crop residues to biomass-based power plants. The purpose of this paper is to solve the issue by proposing a novel biomass feedstock supply model with China’s rural official organization—villagers’ committee, which has great influence on villagers’ decision making. Introducing it into the biomass-based power supply chain is beneficial to motivating farmers’ supplying enthusiasm. A combined game theory and agent-based simulation approach is applied to study the effectiveness of this new supply model. Multiple simulation scenarios are built to study impacts of different simulation parameters, and results show that farmers tend to supply more biomass material for electricity production in the proposed villagers’ committee model, compared with the two conventional supply models, direct-deal and broker models. The supply model incorporating the rural official organization can ensure the feedstock sufficiency for plants. A proper model design depends on the feed-in tariff subsidy for biomass-based electricity, feedstock shipping distance, performance appraisal system of the villagers’ committee, as well as farmers’ utility weights on net income and public service improvement.

Suggested Citation

  • Kaiyan Luo & Xingping Zhang & Qinliang Tan, 2016. "Novel Role of Rural Official Organization in the Biomass-Based Power Supply Chain in China: A Combined Game Theory and Agent-Based Simulation Approach," Sustainability, MDPI, vol. 8(8), pages 1-23, August.
    • Handle: RePEc:gam:jsusta:v:8:y:2016:i:8:p:814-:d:76255
    as

    Download full text from publisher

    File URL: https://www.mdpi.com/2071-1050/8/8/814/pdf
    Download Restriction: no
    File URL: https://www.mdpi.com/2071-1050/8/8/814/
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Konstantinos Angelopoulos & George Economides & Apostolis Philippopoulos, 2010. "What is the best environmental policy?Taxes, permits and rules under economic and environmental uncertainty," Working Papers 119, Bank of Greece.
    2. Wang, Changbo & Zhang, Lixiao & Chang, Yuan & Pang, Mingyue, 2015. "Biomass direct-fired power generation system in China: An integrated energy, GHG emissions, and economic evaluation for Salix," Energy Policy, Elsevier, vol. 84(C), pages 155-165.
    3. Liu, Jicheng & Wang, Sijia & Wei, Qiushuang & Yan, Suli, 2014. "Present situation, problems and solutions of China׳s biomass power generation industry," Energy Policy, Elsevier, vol. 70(C), pages 144-151.
    4. Meng, Xiangyi & Zhang, Li, 2011. "Democratic participation, fiscal reform and local governance: Empirical evidence on Chinese villages," China Economic Review, Elsevier, vol. 22(1), pages 88-97, March.
    5. Na Li & Gaodi Xie & Changshun Zhang & Yu Xiao & Biao Zhang & Wenhui Chen & Yanzhi Sun & Shuo Wang, 2015. "Biomass Resources Distribution in the Terrestrial Ecosystem of China," Sustainability, MDPI, vol. 7(7), pages 1-17, July.
    6. Chengfang Liu & Linxiu Zhang & Jikun Huang & Renfu Luo & Hongmei Yi & Yaojiang Shi & Scott Rozelle, 2013. "Project design, village governance and infrastructure quality in rural China," China Agricultural Economic Review, Emerald Group Publishing, vol. 5(2), pages 248-280, July.
    7. Zhao, Zhen-yu & Yan, Hong, 2012. "Assessment of the biomass power generation industry in China," Renewable Energy, Elsevier, vol. 37(1), pages 53-60.
    8. Qingyou Yan & Jie Tao, 2014. "Biomass Power Generation Industry Efficiency Evaluation in China," Sustainability, MDPI, vol. 6(12), pages 1-16, December.
    9. Yang, Jun & Wang, Xiaobing & Ma, Hengyun & Bai, Junfei & Jiang, Ye & Yu, Hai, 2014. "Potential usage, vertical value chain and challenge of biomass resource: Evidence from China’s crop residues," Applied Energy, Elsevier, vol. 114(C), pages 717-723.
    10. Qu, Wei & Tu, Qin & Bluemling, Bettina, 2013. "Which factors are effective for farmers’ biogas use?–Evidence from a large-scale survey in China," Energy Policy, Elsevier, vol. 63(C), pages 26-33.
    11. Michael Han & Janet (Jingyuan) Wang, 2014. "Due Process in Chinese Competition Law Regime," Antitrust Chronicle, Competition Policy International, vol. 6.
    12. Thakur, Amit & Canter, Christina E. & Kumar, Amit, 2014. "Life-cycle energy and emission analysis of power generation from forest biomass," Applied Energy, Elsevier, vol. 128(C), pages 246-253.
    13. Zhang, Zhibai & Chen, Langnan, 2014. "A new assessment of the Chinese RMB exchange rate," China Economic Review, Elsevier, vol. 30(C), pages 113-122.
    14. Weibing Deng & Armen Allahverdyan & Bo Li & Qiuping Wang, 2014. "Rank-frequency relation for Chinese characters," The European Physical Journal B: Condensed Matter and Complex Systems, Springer;EDP Sciences, vol. 87(2), pages 1-20, February.
    15. Nasiri, Fuzhan & Zaccour, Georges, 2009. "An exploratory game-theoretic analysis of biomass electricity generation supply chain," Energy Policy, Elsevier, vol. 37(11), pages 4514-4522, November.
    16. Ginny ju-ann Yang & Koyin Chang & Yung-Hsiang Ying & Chen-hsun Lee, 2014. "Spillover Effects of Chinese Stock Markets," Economics Bulletin, AccessEcon, vol. 34(1), pages 200-205.
    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. Yiyun Liu & Rui Zhao & Kuo-Jui Wu & Tao Huang & Anthony S. F. Chiu & Chenyi Cai, 2018. "A Hybrid of Multi-Objective Optimization and System Dynamics Simulation for Straw-to-Electricity Supply Chain Management under the Belt and Road Initiatives," Sustainability, MDPI, vol. 10(3), pages 1-17, March.
    2. Kaiyan Luo & Xingping Zhang & Qinliang Tan, 2018. "A Co-Opetition Straw Supply Strategy Integrating Rural Official Organizations and Farmers’ Behavior in China," Energies, MDPI, vol. 11(10), pages 1-17, October.

    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. Juanjuan Wu & Jian Zhang & Weiming Yi & Hongzhen Cai & Yang Li & Zhanpeng Su, 2021. "A Game-Theoretic Analysis of Incentive Effects for Agribiomass Power Generation Supply Chain in China," Energies, MDPI, vol. 14(3), pages 1-18, January.
    2. Lin, Boqiang & He, Jiaxin, 2017. "Is biomass power a good choice for governments in China?," Renewable and Sustainable Energy Reviews, Elsevier, vol. 73(C), pages 1218-1230.
    3. Yuan Quan & Chenxing Wang & Yan Yan & Gang Wu & Hongxun Zhang, 2016. "Impact of Inter‐Basin Water Transfer Projects on Regional Ecological Security from a Telecoupling Perspective," Sustainability, MDPI, vol. 8(2), pages 1-12, February.
    4. Kaiyan Luo & Xingping Zhang & Qinliang Tan, 2018. "A Co-Opetition Straw Supply Strategy Integrating Rural Official Organizations and Farmers’ Behavior in China," Energies, MDPI, vol. 11(10), pages 1-17, October.
    5. Zhang, Xingping & Luo, Kaiyan & Tan, Qinliang, 2016. "A feedstock supply model integrating the official organization for China's biomass generation plants," Energy Policy, Elsevier, vol. 97(C), pages 276-290.
    6. He, Jiaxin & Liu, Ying & Lin, Boqiang, 2018. "Should China support the development of biomass power generation?," Energy, Elsevier, vol. 163(C), pages 416-425.
    7. Zhao, Zhen-Yu & Zuo, Jian & Wu, Pan-Hao & Yan, Hong & Zillante, George, 2016. "Competitiveness assessment of the biomass power generation industry in China: A five forces model study," Renewable Energy, Elsevier, vol. 89(C), pages 144-153.
    8. Liu, Liwei & Ye, Junhong & Zhao, Yufei & Zhao, Erdong, 2015. "The plight of the biomass power generation industry in China – A supply chain risk perspective," Renewable and Sustainable Energy Reviews, Elsevier, vol. 49(C), pages 680-692.
    9. Zhang, Dahai & Wang, Jiaqi & Lin, Yonggang & Si, Yulin & Huang, Can & Yang, Jing & Huang, Bin & Li, Wei, 2017. "Present situation and future prospect of renewable energy in China," Renewable and Sustainable Energy Reviews, Elsevier, vol. 76(C), pages 865-871.
    10. Hu, Yanlong & Huang, Weibin & Wang, Jing & Chen, Shijun & Zhang, Jie, 2016. "Current status, challenges, and perspectives of Sichuan׳s renewable energy development in Southwest China," Renewable and Sustainable Energy Reviews, Elsevier, vol. 57(C), pages 1373-1385.
    11. Wen, Wen & Zhang, Qin, 2015. "A design of straw acquisition mode for China's straw power plant based on supply chain coordination," Renewable Energy, Elsevier, vol. 76(C), pages 369-374.
    12. Zhang, Qin & Zhou, Dequn & Fang, Xiaomeng, 2014. "Analysis on the policies of biomass power generation in China," Renewable and Sustainable Energy Reviews, Elsevier, vol. 32(C), pages 926-935.
    13. Tan, Qinliang & Wang, Tingran & Zhang, Yimei & Miao, Xinyan & Zhu, Jun, 2017. "Nonlinear multi-objective optimization model for a biomass direct-fired power generation supply chain using a case study in China," Energy, Elsevier, vol. 139(C), pages 1066-1079.
    14. Wang, Changbo & Zhang, Lixiao & Chang, Yuan & Pang, Mingyue, 2015. "Biomass direct-fired power generation system in China: An integrated energy, GHG emissions, and economic evaluation for Salix," Energy Policy, Elsevier, vol. 84(C), pages 155-165.
    15. Lin, Boqiang & He, Jiaxin, 2016. "Learning curves for harnessing biomass power: What could explain the reduction of its cost during the expansion of China?," Renewable Energy, Elsevier, vol. 99(C), pages 280-288.
    16. Wang, Zhanwu & Wang, Zhenfeng & Tahir, Nadeem & Wang, Heng & Li, Jin & Xu, Guangyin, 2020. "Study of synergetic development in straw power supply chain: Straw price and government subsidy as incentive," Energy Policy, Elsevier, vol. 146(C).
    17. Zhao Xin-gang & Wang Wei & Hu Shuran & Liu Xuan, 2023. "Impacts of Government Policies on the Adoption of Biomass Power: A System Dynamic Perspective," Sustainability, MDPI, vol. 15(2), pages 1-11, January.
    18. Niu, Tong & Yao, Xilong & Shao, Shuai & Li, Ding & Wang, Wenxi, 2018. "Environmental tax shocks and carbon emissions: An estimated DSGE model," Structural Change and Economic Dynamics, Elsevier, vol. 47(C), pages 9-17.
    19. Mao, Guozhu & Zou, Hongyang & Chen, Guanyi & Du, Huibin & Zuo, Jian, 2015. "Past, current and future of biomass energy research: A bibliometric analysis," Renewable and Sustainable Energy Reviews, Elsevier, vol. 52(C), pages 1823-1833.
    20. Coenen, Günter & Lozej, Matija & Priftis, Romanos, 2023. "Macroeconomic Effects of Carbon Transition Policies: An Assessment Based on the ECB’s New Area-Wide Model with a Disaggregated Energy Sector," Research Technical Papers 8/RT/23, Central Bank of Ireland.

    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:gam:jsusta:v:8:y:2016:i:8:p:814-:d:76255. 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: MDPI Indexing Manager (email available below). General contact details of provider: https://www.mdpi.com .

    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.