IDEAS home Printed from https://ideas.repec.org/a/eee/proeco/v218y2019icp339-351.html
   My bibliography  Save this article

A novel dynamic pricing scheme for a large-scale electric vehicle sharing network considering vehicle relocation and vehicle-grid-integration

Author

Listed:
  • Ren, Shuyun
  • Luo, Fengji
  • Lin, Lei
  • Hsu, Shu-Chien
  • LI, Xuran Ivan

Abstract

With promising benefits such as traffic emission reduction, traffic congestion alleviation, and parking problem solving, Electric Vehicle (EV)-sharing systems have attracted large attentions in recent years. Different from other business modes, customers in sharing economy systems are usually price sensitive. Therefore, it is possible to shift the usage of shared EVs through a well-designed Dynamic Pricing Scheme (DPS), with the objective of maximizing the system operator's total profit. In this study, we propose a novel DPS for a large-scale EV-sharing network to address the EV unbalancing issue and satisfy the vehicle-grid-integration (VGI) service based on accurate station-level demand prediction. The proposed DPS is formulated as a complex optimization problem, which includes two Price Adjustment Level (PAL) decision variables for every origin-destination pair of stations. The two PALs are employed to affect the EV-sharing demand and travel time between each station pair, respectively. Physical and operational constraints from both EV demand and VGI service aspects are also included in the proposed model. Two case study are conducted to validate the effectiveness of the proposed method.

Suggested Citation

  • Ren, Shuyun & Luo, Fengji & Lin, Lei & Hsu, Shu-Chien & LI, Xuran Ivan, 2019. "A novel dynamic pricing scheme for a large-scale electric vehicle sharing network considering vehicle relocation and vehicle-grid-integration," International Journal of Production Economics, Elsevier, vol. 218(C), pages 339-351.
    • Handle: RePEc:eee:proeco:v:218:y:2019:i:c:p:339-351
    DOI: 10.1016/j.ijpe.2019.06.020
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0925527319302348
    Download Restriction: Full text for ScienceDirect subscribers only
    File URL: https://libkey.io/10.1016/j.ijpe.2019.06.020?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. Nourinejad, Mehdi & Zhu, Sirui & Bahrami, Sina & Roorda, Matthew J., 2015. "Vehicle relocation and staff rebalancing in one-way carsharing systems," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 81(C), pages 98-113.
    2. Li, Xiaopeng & Ma, Jiaqi & Cui, Jianxun & Ghiasi, Amir & Zhou, Fang, 2016. "Design framework of large-scale one-way electric vehicle sharing systems: A continuum approximation model," Transportation Research Part B: Methodological, Elsevier, vol. 88(C), pages 21-45.
    3. Gambella, Claudio & Malaguti, Enrico & Masini, Filippo & Vigo, Daniele, 2018. "Optimizing relocation operations in electric car-sharing," Omega, Elsevier, vol. 81(C), pages 234-245.
    4. Xu, Min & Meng, Qiang & Liu, Zhiyuan, 2018. "Electric vehicle fleet size and trip pricing for one-way carsharing services considering vehicle relocation and personnel assignment," Transportation Research Part B: Methodological, Elsevier, vol. 111(C), pages 60-82.
    5. Yu, Yang & Wu, Yuting & Wang, Junwei, 2019. "Bi-objective green ride-sharing problem: Model and exact method," International Journal of Production Economics, Elsevier, vol. 208(C), pages 472-482.
    6. Shen, Bin & Choi, Tsan-Ming & Chan, Hau-Ling, 2019. "Selling green first or not? A Bayesian analysis with service levels and environmental impact considerations in the Big Data Era," Technological Forecasting and Social Change, Elsevier, vol. 144(C), pages 412-420.
    7. Wichmann, Matthias Gerhard & Johannes, Christoph & Spengler, Thomas Stefan, 2019. "Energy-oriented Lot-Sizing and Scheduling considering energy storages," International Journal of Production Economics, Elsevier, vol. 216(C), pages 204-214.
    8. Regue, Robert & Recker, Will, 2014. "Proactive vehicle routing with inferred demand to solve the bikesharing rebalancing problem," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 72(C), pages 192-209.
    9. Jorge, Diana & Molnar, Goran & de Almeida Correia, Gonçalo Homem, 2015. "Trip pricing of one-way station-based carsharing networks with zone and time of day price variations," Transportation Research Part B: Methodological, Elsevier, vol. 81(P2), pages 461-482.
    10. Bin Shen & Hau-Ling Chan, 2017. "Forecast Information Sharing for Managing Supply Chains in the Big Data Era: Recent Development and Future Research," Asia-Pacific Journal of Operational Research (APJOR), World Scientific Publishing Co. Pte. Ltd., vol. 34(01), pages 1-26, February.
    11. Boyacı, Burak & Zografos, Konstantinos G. & Geroliminis, Nikolas, 2015. "An optimization framework for the development of efficient one-way car-sharing systems," European Journal of Operational Research, Elsevier, vol. 240(3), pages 718-733.
    12. Illgen, Stefan & Höck, Michael, 2019. "Literature review of the vehicle relocation problem in one-way car sharing networks," Transportation Research Part B: Methodological, Elsevier, vol. 120(C), pages 193-204.
    13. Yuan, Quan & Shen, Bin, 2019. "Renting fashion with strategic customers in the sharing economy," International Journal of Production Economics, Elsevier, vol. 218(C), pages 185-195.
    14. 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.
    15. Li, Qing & Liao, Feixiong & Timmermans, Harry J.P. & Huang, Haijun & Zhou, Jing, 2018. "Incorporating free-floating car-sharing into an activity-based dynamic user equilibrium model: A demand-side model," Transportation Research Part B: Methodological, Elsevier, vol. 107(C), pages 102-123.
    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. Ren, Shuyun & Choi, Tsan-Ming & Lee, Ka-Man & Lin, Lei, 2020. "Intelligent service capacity allocation for cross-border-E-commerce related third-party-forwarding logistics operations: A deep learning approach," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 134(C).
    2. Francesco Lo Franco & Vincenzo Cirimele & Mattia Ricco & Vitor Monteiro & Joao L. Afonso & Gabriele Grandi, 2022. "Smart Charging for Electric Car-Sharing Fleets Based on Charging Duration Forecasting and Planning," Sustainability, MDPI, vol. 14(19), pages 1-19, September.
    3. Miao, Rui & Guo, Peng & Huang, Wenjie & Li, Qi & Zhang, Bo, 2022. "Profit model for electric vehicle rental service: Sensitive analysis and differential pricing strategy," Energy, Elsevier, vol. 249(C).
    4. Xiaolin Chu & Yuntian Ge & Xue Zhou & Lin Li & Dong Yang, 2020. "Modeling and Analysis of Electric Vehicle-Power Grid-Manufacturing Facility (EPM) Energy Sharing System under Time-of-Use Electricity Tariff," Sustainability, MDPI, vol. 12(12), pages 1-27, June.
    5. Qingyang Xiao & Jee Eun Kang, 2023. "Pricing in emerging mobility services: a comprehensive review," Journal of Revenue and Pricing Management, Palgrave Macmillan, vol. 22(6), pages 482-500, December.
    6. Zhen, Lu & Wu, Yiwei & Wang, Shuaian & Yi, Wen, 2021. "Crowdsourcing mode evaluation for parcel delivery service platforms," International Journal of Production Economics, Elsevier, vol. 235(C).
    7. Yoo, Seung Ho & Choi, Thomas Y. & Sheu, Jiuh-Biing, 2021. "Electric vehicles and product–service platforms: Now and in future," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 149(C).
    8. Fan, Jing-Li & Wang, Jia-Xing & Zhang, Xian, 2020. "An innovative subsidy model for promoting the sharing of Electric Vehicles in China: A pricing decisions analysis," Energy, Elsevier, vol. 201(C).
    9. Gu, Wei & Luo, Jing & Yu, Xiaoru & Zhang, Wenqing & Li, Baixun, 2023. "Dynamic decisions between sellers and consumers in online second-hand trading platforms: Evidence from C2C transactions," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 177(C).
    10. Meijian Yang & Enjun Xia, 2021. "A Systematic Literature Review on Pricing Strategies in the Sharing Economy," Sustainability, MDPI, vol. 13(17), pages 1-28, August.
    11. Chen, Mingyang & Zhao, Daozhi & Gong, Yeming & Rekik, Yacine, 2022. "An on-demand service platform with self-scheduling capacity: Uniform versus multiplier-based pricing," International Journal of Production Economics, Elsevier, vol. 243(C).
    12. Zhang, Jie & Bai, Lihui & Jin, Tongdan, 2021. "Joint planning for battery swap and supercharging networks with priority service queues," International Journal of Production Economics, Elsevier, vol. 233(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. Huang, Kai & An, Kun & Rich, Jeppe & Ma, Wanjing, 2020. "Vehicle relocation in one-way station-based electric carsharing systems: A comparative study of operator-based and user-based methods," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 142(C).
    2. Golalikhani, Masoud & Oliveira, Beatriz Brito & Carravilla, Maria Antónia & Oliveira, José Fernando & Antunes, António Pais, 2021. "Carsharing: A review of academic literature and business practices toward an integrated decision-support framework," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 149(C).
    3. Illgen, Stefan & Höck, Michael, 2019. "Literature review of the vehicle relocation problem in one-way car sharing networks," Transportation Research Part B: Methodological, Elsevier, vol. 120(C), pages 193-204.
    4. Boyacı, Burak & Zografos, Konstantinos G., 2019. "Investigating the effect of temporal and spatial flexibility on the performance of one-way electric carsharing systems," Transportation Research Part B: Methodological, Elsevier, vol. 129(C), pages 244-272.
    5. Stokkink, Patrick & Geroliminis, Nikolas, 2021. "Predictive user-based relocation through incentives in one-way car-sharing systems," Transportation Research Part B: Methodological, Elsevier, vol. 149(C), pages 230-249.
    6. Weimin Ma & Jiakai Chen & Hua Ke, 2021. "Electric Vehicle Assignment Considering Users’ Waiting Time," Sustainability, MDPI, vol. 13(23), pages 1-14, December.
    7. Xu, Min & Meng, Qiang, 2019. "Fleet sizing for one-way electric carsharing services considering dynamic vehicle relocation and nonlinear charging profile," Transportation Research Part B: Methodological, Elsevier, vol. 128(C), pages 23-49.
    8. Osorio, Jesus & Lei, Chao & Ouyang, Yanfeng, 2021. "Optimal rebalancing and on-board charging of shared electric scooters," Transportation Research Part B: Methodological, Elsevier, vol. 147(C), pages 197-219.
    9. Nguyen, Tri K. & Hoang, Nam H. & Vu, Hai L., 2022. "A unified activity-based framework for one-way car-sharing services in multi-modal transportation networks," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 157(C).
    10. Yixi Xue & Yi Zhang & Yi Chen, 2019. "An Evaluation Framework for the Planning of Electric Car-Sharing Systems: A Combination Model of AHP-CBA-VD," Sustainability, MDPI, vol. 11(20), pages 1-22, October.
    11. Schiffer, Maximilian & Hiermann, Gerhard & Rüdel, Fabian & Walther, Grit, 2021. "A polynomial-time algorithm for user-based relocation in free-floating car sharing systems," Transportation Research Part B: Methodological, Elsevier, vol. 143(C), pages 65-85.
    12. Xu, Min & Meng, Qiang & Liu, Zhiyuan, 2018. "Electric vehicle fleet size and trip pricing for one-way carsharing services considering vehicle relocation and personnel assignment," Transportation Research Part B: Methodological, Elsevier, vol. 111(C), pages 60-82.
    13. Liu, Yang & Xie, Jiaohong & Chen, Nan, 2022. "Stochastic one-way carsharing systems with dynamic relocation incentives through preference learning," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 166(C).
    14. Huang, Wei & Huang, Wentao & Jian, Sisi, 2022. "One-way carsharing service design under demand uncertainty: A service reliability-based two-stage stochastic program approach," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 159(C).
    15. Zhang, Si & Sun, Huijun & Wang, Xu & Lv, Ying & Wu, Jianjun, 2022. "Optimization of personalized price discounting scheme for one-way station-based carsharing systems," European Journal of Operational Research, Elsevier, vol. 303(1), pages 220-238.
    16. Repoux, Martin & Kaspi, Mor & Boyacı, Burak & Geroliminis, Nikolas, 2019. "Dynamic prediction-based relocation policies in one-way station-based carsharing systems with complete journey reservations," Transportation Research Part B: Methodological, Elsevier, vol. 130(C), pages 82-104.
    17. Yang, Jie & Hu, Lu & Jiang, Yangsheng, 2022. "An overnight relocation problem for one-way carsharing systems considering employment planning, return restrictions, and ride sharing of temporary workers," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 168(C).
    18. Çalık, Hatice & Fortz, Bernard, 2019. "A Benders decomposition method for locating stations in a one-way electric car sharing system under demand uncertainty," Transportation Research Part B: Methodological, Elsevier, vol. 125(C), pages 121-150.
    19. Lu, Xiaonong & Zhang, Qiang & Peng, Zhanglin & Shao, Zhen & Song, Hao & Wang, Wanying, 2020. "Charging and relocating optimization for electric vehicle car-sharing: An event-based strategy improvement approach," Energy, Elsevier, vol. 207(C).
    20. Chang, Ximing & Wu, Jianjun & Correia, Gonçalo Homem de Almeida & Sun, Huijun & Feng, Ziyan, 2022. "A cooperative strategy for optimizing vehicle relocations and staff movements in cities where several carsharing companies operate simultaneously," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 161(C).

    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:proeco:v:218:y:2019:i:c:p:339-351. 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/ijpe .

    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.