Dynamic Emission Reduction Strategy for Shipping Company Considering Shipper's Cancellation of Cabin Space

Abstract

As a major carbon emitting industry, the shipping industry urgently needs to actively reduce emissions. This article introduces parameters such as the shipper's low-carbon preference coefficient, cabin cancellation rate, and compensation rate, considering the shipper's low-carbon preference and cabin cancellation behavior. Based on the state changes of shipping emission reduction, an optimal control method is used to construct a dynamic decision-making model for shipping companies to reduce emissions. The optimal emission reduction effort of shipping companies is solved to clarify the optimal dynamic trajectory changes of shipping emission reduction, shipping volume, and shipping companies' expected discounted profits. The impact of shipper's low-carbon preference and cabin cancellation on shipping companies' emission reduction operation strategies is also revealed. An important finding is that the cancellation of cargo space by shippers will reduce the enthusiasm of shipping companies to reduce emissions, while the increase in shippers' low-carbon preference coefficient can help improve the enthusiasm of shipping companies to reduce emissions and increase shipping emissions. Moreover, the dynamic emission reduction operation strategies of shipping companies will dynamically change over time. Finally, the effectiveness of the model was validated through numerical analysis.