IDEAS home Printed from https://ideas.repec.org/a/gam/jsusta/v15y2023i21p15464-d1271228.html
   My bibliography  Save this article

Optimizing Green Strategy for Retired Electric Vehicle Battery Recycling: An Evolutionary Game Theory Approach

Author

Listed:
  • Yi Zheng

    (School of Computer and Information Engineering, Harbin University of Commerce, Harbin 150028, China)

  • Yaoqun Xu

    (Institute of Systems Engineering, Harbin University of Commerce, Harbin 150028, China)

Abstract

As the global new energy vehicle (NEV) industry rapidly expands, the disposal and recycling of end-of-life (EOL) power batteries have become imperative. Efficient closed-loop supply chain (CLSC) management, supported by well-designed regulations and strategic investments, plays a crucial role in sustainable waste power battery recycling. In this study, an evolutionary game theory (EGT) methodology is used to construct a tripartite game model to investigate the interactions among manufacturers, recyclers, and the government to study the decision-making dynamics of green investments. In addition, numerical simulations are performed to evaluate the sensitivity of the relevant parameters on the stability of the evolution of the system. The results reveal that government green subsidies can stimulate early period investments in advanced recycling technologies. However, as the battery recycling industry matures, a ‘free-rider’ behavior emerges among enterprises, which can be mitigated through the imposition of a carbon tax. Eventually, as the industry reaches maturity, manufacturers and recyclers autonomously invest for enhanced profitability. This research provides valuable insights for government policy formulation, facilitating the formal recycling of retired batteries and fostering sustainability in the NEV sector.

Suggested Citation

  • Yi Zheng & Yaoqun Xu, 2023. "Optimizing Green Strategy for Retired Electric Vehicle Battery Recycling: An Evolutionary Game Theory Approach," Sustainability, MDPI, vol. 15(21), pages 1-23, October.
    • Handle: RePEc:gam:jsusta:v:15:y:2023:i:21:p:15464-:d:1271228
    as

    Download full text from publisher

    File URL: https://www.mdpi.com/2071-1050/15/21/15464/pdf
    Download Restriction: no
    File URL: https://www.mdpi.com/2071-1050/15/21/15464/
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Gavin Harper & Roberto Sommerville & Emma Kendrick & Laura Driscoll & Peter Slater & Rustam Stolkin & Allan Walton & Paul Christensen & Oliver Heidrich & Simon Lambert & Andrew Abbott & Karl Ryder & L, 2019. "Recycling lithium-ion batteries from electric vehicles," Nature, Nature, vol. 575(7781), pages 75-86, November.
    2. Liu, Changyu & Song, Yadong & Wang, Wei & Shi, Xunpeng, 2023. "The governance of manufacturers’ greenwashing behaviors: A tripartite evolutionary game analysis of electric vehicles," Applied Energy, Elsevier, vol. 333(C).
    3. Zhang, Huiming & Zhu, Kexin & Hang, Zixuan & Zhou, Dequn & Zhou, Yi & Xu, Zhidong, 2022. "Waste battery-to-reutilization decisions under government subsidies: An evolutionary game approach," Energy, Elsevier, vol. 259(C).
    4. Feixiao Wang & Yaoqun Xu, 2022. "Evolutionary Game Analysis of the Quality of Agricultural Products in Supply Chain," Agriculture, MDPI, vol. 12(10), pages 1-16, September.
    Full references (including those not matched with items on IDEAS)

    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. Guohao Li & Tao Wang, 2022. "Long-Term Leases vs. One-Off Purchases: Game Analysis on Battery Swapping Mode Considering Cascade Utilization and Power Structure," Sustainability, MDPI, vol. 14(24), pages 1-28, December.
    2. Mupangi Sithole & Assan Ng’ombe & Collins M. Musafiri & Milka Kiboi & Tomas Sales & Felix K. Ngetich, 2023. "The Role of Agricultural Projects in Building Sustainable and Resilient Maize Value Chain in Burkina Faso," Sustainability, MDPI, vol. 15(24), pages 1-15, December.
    3. Shahjalal, Mohammad & Roy, Probir Kumar & Shams, Tamanna & Fly, Ashley & Chowdhury, Jahedul Islam & Ahmed, Md. Rishad & Liu, Kailong, 2022. "A review on second-life of Li-ion batteries: prospects, challenges, and issues," Energy, Elsevier, vol. 241(C).
    4. Wang, Mengmeng & Liu, Kang & Dutta, Shanta & Alessi, Daniel S. & Rinklebe, Jörg & Ok, Yong Sik & Tsang, Daniel C.W., 2022. "Recycling of lithium iron phosphate batteries: Status, technologies, challenges, and prospects," Renewable and Sustainable Energy Reviews, Elsevier, vol. 163(C).
    5. Xinyue Wang & Zhimei Li & Peinan Liu, 2023. "Recycling/Production and Incentive-Penalty Strategies in Closed-Loop Supply Chains under Remanufacturing Policies," Sustainability, MDPI, vol. 15(12), pages 1-23, June.
    6. Fatmawati Fatmawati & Nuryanti Mustari & Haerana Haerana & Risma Niswaty & Abdillah Abdillah, 2022. "Waste Bank Policy Implementation through Collaborative Approach: Comparative Study—Makassar and Bantaeng, Indonesia," Sustainability, MDPI, vol. 14(13), pages 1-15, June.
    7. Lequn Zhu & Ran Zhou & Xiaojun Li & Linlin Zhang, 2023. "An Evolutionary Game Analysis of Shared Private Charging Pile Behavior in Low-Carbon Urban Traffic," Sustainability, MDPI, vol. 15(13), pages 1-17, June.
    8. Hongxia Chen & Jeongsoo Yu & Xiaoyue Liu, 2022. "Development Strategies and Policy Trends of the Next-Generation Vehicles Battery: Focusing on the International Comparison of China, Japan and South Korea," Sustainability, MDPI, vol. 14(19), pages 1-12, September.
    9. Costa, C.M. & Barbosa, J.C. & Castro, H. & Gonçalves, R. & Lanceros-Méndez, S., 2021. "Electric vehicles: To what extent are environmentally friendly and cost effective? – Comparative study by european countries," Renewable and Sustainable Energy Reviews, Elsevier, vol. 151(C).
    10. Yongyou Nie & Yuhan Wang & Lu Li & Haolan Liao, 2023. "Literature Review on Power Battery Echelon Reuse and Recycling from a Circular Economy Perspective," IJERPH, MDPI, vol. 20(5), pages 1-28, February.
    11. Golmohammadzadeh, Rabeeh & Faraji, Fariborz & Jong, Brian & Pozo-Gonzalo, Cristina & Banerjee, Parama Chakraborty, 2022. "Current challenges and future opportunities toward recycling of spent lithium-ion batteries," Renewable and Sustainable Energy Reviews, Elsevier, vol. 159(C).
    12. Nguyen-Tien, Viet & Dai, Qiang & Harper, Gavin D.J. & Anderson, Paul A. & Elliott, Robert J.R., 2022. "Optimising the geospatial configuration of a future lithium ion battery recycling industry in the transition to electric vehicles and a circular economy," Applied Energy, Elsevier, vol. 321(C).
    13. Jingxian Liu & Yingyu Wu & Lili Liu, 2023. "Impact of Environmental Uncertainties and Strategic Flexibility in Innovation Activities on NEV Battery Recycling Firms in China," IJERPH, MDPI, vol. 20(4), pages 1-16, February.
    14. Zhaosheng Zhang & Shuo Wang & Ni Lin & Zhenpo Wang & Peng Liu, 2023. "State of Health Estimation of Lithium-Ion Batteries in Electric Vehicles Based on Regional Capacity and LGBM," Sustainability, MDPI, vol. 15(3), pages 1-20, January.
    15. Tingwei Zhao & Xiang Yu & Sishi Liu, 2024. "Research on the Co-Creation Mechanism of Geographical Indication Industry Value Based on Evolutionary Game Analysis," Sustainability, MDPI, vol. 16(5), pages 1-25, March.
    16. Xia, Xiaoning & Li, Pengwei & Cheng, Yang, 2023. "Tripartite evolutionary game analysis of power battery carbon footprint disclosure under the EU battery regulation," Energy, Elsevier, vol. 284(C).
    17. Xingxing Wang & Yujie Zhang & Hongjun Ni & Shuaishuai Lv & Fubao Zhang & Yu Zhu & Yinnan Yuan & Yelin Deng, 2022. "Influence of Different Ambient Temperatures on the Discharge Performance of Square Ternary Lithium-Ion Batteries," Energies, MDPI, vol. 15(15), pages 1-22, July.
    18. Jun Ma & Junxiong Wang & Kai Jia & Zheng Liang & Guanjun Ji & Haocheng Ji & Yanfei Zhu & Wen Chen & Hui-Ming Cheng & Guangmin Zhou, 2024. "Subtractive transformation of cathode materials in spent Li-ion batteries to a low-cobalt 5 V-class cathode material," Nature Communications, Nature, vol. 15(1), pages 1-10, December.
    19. Christensen, Paul A. & Anderson, Paul A. & Harper, Gavin D.J. & Lambert, Simon M. & Mrozik, Wojciech & Rajaeifar, Mohammad Ali & Wise, Malcolm S. & Heidrich, Oliver, 2021. "Risk management over the life cycle of lithium-ion batteries in electric vehicles," Renewable and Sustainable Energy Reviews, Elsevier, vol. 148(C).
    20. Anna Pražanová & Vaclav Knap & Daniel-Ioan Stroe, 2022. "Literature Review, Recycling of Lithium-Ion Batteries from Electric Vehicles, Part II: Environmental and Economic Perspective," Energies, MDPI, vol. 15(19), pages 1-44, October.

    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:15:y:2023:i:21:p:15464-:d:1271228. 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.