A SUSTAINABLE INVENTORY MODEL FOR THE ELECTRICAL ENERGY SUPPLY CHAIN CONSIDERING EMISSION REDUCTION,SETUP COST OPTIMIZATION, AND GREEN TECHNOLOGY INVESTMENT
Published 2026-06-13
Keywords
- sensitive demand,
- greenhouse gas emissions,
- transmission and distribution costs,
- sustainable power supply chain,
- green technology investment
Copyright (c) 2026

This work is licensed under a Creative Commons Attribution-ShareAlike 4.0 International License.
Abstract
This article presents a mathematical model for a sustainable power supply chain based on linear price-dependent customer demand, with setup cost and carbon emission as choice variables. The sustainable electrical supply chain includes power generation, transmission and distribution substations, and customers. Electricity production rates are determined by consumer demand, which is influenced by the price of electricity generated and transferred through several substations. Capital investment in green technologies can help to cut emissions. Moreover we considered how transmission rates, power generation, and distance between stations affect distribution and transmission costs.Here,we developed a new model based on inventory theory and proposed a strategy for determining the optimal solution. Finally, a numerical example and sensitivity analysis are used to illustrate the study and provide managerial insights.
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