The battery swap station location problem, which aims to determine the number, location, and size of battery swap stations in a city, a region, or a country, is thus an important research direction along with the technological development of batteries. The battery swap station location decisions depend on the current number of electric vehicles, and affect the future number of electric vehicles as a higher service level provided by battery swap stations would stimulate the use of more electric vehicles. Therefore, the battery swap station location problem can be considered as a facility location problem with elastic demand [2]. If the government is operating the stations, the objective should be to maximize the social benefit. The social benefit may include the reduced cost of the electric vehicle users and the benefit from less pollution. If the battery swap stations are operated by a private firm, the objective would be to maximize the total profit. A more complicated case would be that several private firms operate battery swap stations and compete with each other. Game theoretical models combining optimization theory must be developed to account for the market equilibrium between each of the private firms and electric vehicle users. Intuition might give wrong conclusions in such a complex context. For example, one may conjecture that if one private firm builds more battery swap stations, the other firms would gain less profit. However, it is possible that the newly built stations lead to a dramatic increase in the number of electric vehicles (depending on the elasticity of the number of electric vehicles with respect to the service level provided by battery swap stations), thus increasing the profit of every private firm.[Wang S (2012) Battery Swap Station Location Problem for Electric Vehicles. Adv Automob Engg 1: e104]
Last date updated on April, 2024
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