The Open Mechanical Engineering Journal

2013, 7 : 9-13
Published online 2013 May 17. DOI: 10.2174/1874155X01307010009
Publisher ID: TOMEJ-7-9

Research on Production Strategy with Carbon Emissions

Honglei Tang and Guofang Song
School of Management, Shanghai University, Shanghai 200000, P.R. China; Huzhou Teachers College, Huzhou 310000, P.R. China.

ABSTRACT

This paper mainly studied the influence on the carbon emission permits and trading on the production strategy for manufacturing enterprises. The enterprises might obtain carbon emission permits in three different ways, i.e. government quota, market trading and purification treatment. The enterprises must make a tradeoff between them. The characteristic of purifying cost was analyzed. Then, an optimal production model with carbon emission permits and trading was established. Finally, a typical numerical experiment was employed to show the influence of the parameters on optimal production decisions.

Keywords:

Carbon emissions permits and trading, carbon emission reduction, production strategy.