Research on electricity supply chain strategy coordination considering peak-valley pricing policy and service quality investment

¹ College of Management Science, Chengdu University of Technology, Chengdu 610059, P.R. China
² School of Economic Information Engineering, Southwestern University of Finance and Economics, Chengdu 610074, P.R. China
³ School of Management and Economics, University of Electronic Science and Technology of China, Chengdu 611731, P.R. China

^* Corresponding author: cn_whm@163.com

Received: 4 September 2021
Accepted: 5 February 2022

Abstract

An electricity supply chain game model composed of electricity generation enterprise and electricity retailer enterprise is constructed to evaluate the impact of service quality and peak-valley pricing on electricity supply chain coordination mechanism. Decisions on electricity service quality and peak-valley pricing are studied. Following this, the contract coordination under the electricity supply chain is discussed. Based on the game framework, the main research results are as follows. First, the centralized system provides a lower peak-valley price and higher electricity service quality, electricity demand, and supply chain’s profit compared with the decentralized system. Second, with the service quality sensitivity coefficient, the electricity service quality, electricity price, and electricity demand increase, increasing the profit. Third, with the electricity service quality cost coefficient, the electricity service quality, electricity price, and electricity demand decrease, reducing the profit. Fourth, revenue sharing and an electricity service quality investment cost-sharing contract could achieve the coordination of the supply chain.