Optimal Deployment of Charging Piles for Electric Vehicles Under the Indirect Network Effects

Shihui Tian (), Guowei Hua and T. C. E. Cheng ()
Additional contact information
Shihui Tian: School of Economics and Management, Beijing Jiaotong University, Beijing 100044, P. R. China
Guowei Hua: School of Economics and Management, Beijing Jiaotong University, Beijing 100044, P. R. China
T. C. E. Cheng: Department of Logistics and Maritime Studies, The Hong Kong Polytechnic University, Hong Kong

Asia-Pacific Journal of Operational Research (APJOR), 2019, vol. 36, issue 01, 1-17

Abstract: It has been found that there is a close relationship between the popularization of electric vehicles and the deployment of the charging facilities, which provides either positive or negative feedback. Given the existence of the double feedback mechanism, namely the indirect network effects, we aim to quantify it by means of empirical research and mathematical modeling. We start with the decision equations, which consist of the consumer’s adoption decision equation and the charging-pile operator’s entrance decision equation. We quantify the influence process by analyzing the equilibrium state and critical equilibrium point. Compared with the general situation in which the scale of the charging piles is decided by the number of electric vehicles, we find that the decision that takes the indirect network effects into consideration has a great positive impact on the popularization of electric vehicles. Our findings shed light on the formulation of incentive policy and the charging-pile operator’s decision-making. We also apply location theory to address the issue of charging-pile points layout in practice.

Keywords: Indirect network effects; electric vehicles; charging piles; maximum covering model; flow-capturing location model (search for similar items in EconPapers)
Date: 2019
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (1)

Downloads: (external link)
http://www.worldscientific.com/doi/abs/10.1142/S0217595919500076
Access to full text is restricted to subscribers

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:wsi:apjorx:v:36:y:2019:i:01:n:s0217595919500076

Ordering information: This journal article can be ordered from

DOI: 10.1142/S0217595919500076

Access Statistics for this article

Asia-Pacific Journal of Operational Research (APJOR) is currently edited by Gongyun Zhao

More articles in Asia-Pacific Journal of Operational Research (APJOR) from World Scientific Publishing Co. Pte. Ltd.
Bibliographic data for series maintained by Tai Tone Lim ().