A joint liner ship path, speed and deployment problem under emission reduction measures

•A mixed integer non linear programming model on ship routing and deployment is proposed.•Some important properties of the proposed problem are obtained.•A dynamic programming based method is developed.•The proposed model can contribute to cost savings. This paper addresses a joint ship path, speed,...

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Bibliographic Details
Published in:Transportation research. Part B: methodological 2021-02, Vol.144, p.155-173
Main Authors: Zhuge, Dan, Wang, Shuaian, Wang, David Z.W.
Format: Article
Language:English
Subjects:
Carbon
Carbon tax
Computer applications
Cost control
Dynamic programming
Emission measurements
Emissions control
Environmental tax
Fleet deployment
Linear programming
Mixed integer
Nonlinear programming
Path and speed optimization
Sailing
Shipping
Ships
Sulfur
Sulfur emission regulations
Vessel speed reduction incentive program (VSRIP)
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Summary:•A mixed integer non linear programming model on ship routing and deployment is proposed.•Some important properties of the proposed problem are obtained.•A dynamic programming based method is developed.•The proposed model can contribute to cost savings. This paper addresses a joint ship path, speed, and deployment problem in a liner shipping company considering three emission reduction measures, including sulfur emission regulations, carbon tax, and vessel speed reduction incentive programs (VSRIPs). Given a set of service routes and the total number of available ships, the proposed problem determines how many ships should be deployed on each route and how to design sailing path and speed for each leg. A mixed-integer non-linear programming model is presented for minimizing the total cost of all routes, i.e., fuel cost, carbon tax, and fixed cost, minus dockage refund. The different impacts of the three emission reduction measures on sailing path and speed complicate the problem. Some important properties are obtained by analyzing the proposed model. Combining these properties with a dynamic programming approach, a tailored method is developed to solve the problem. Based on real data, extensive numerical experiments are conducted to examine the validity of the proposed model and the efficiency of the solution method. The computational results demonstrate that the proposed model can contribute to significant cost savings for shipping companies.
ISSN:0191-2615
1879-2367
DOI:10.1016/j.trb.2020.12.006