Hybrid Power Generation Supply Chain Financing and Purchasing Strategies with Option Hedging against Disruption

Table 4

Problem primitives.

Problem primitives	Description
	The wholesale price offered by the renewable energy type of electricity plant, which also is the strike price of the put option
	The wholesale price offered by the traditional energy type of electricity plant, which also is the strike price of a call option
	The option premium
	Electricity retail price
	The coefficient of total order quantity with respect to wind power generation whose capital is constant when the wind is unavailable and the call option is exercised
	The coefficient of total order quantity with respect to wind power generation whose capital is constant when the wind is available and only the call option is exercised
	The coefficient of total order quantity with respect to wind power generation whose capital is constant when the wind is available and call and put options are both exercised
	The coefficient of total order quantity with respect to wind power generation whose capital is uniform when the wind is unavailable and the call option is exercised
	The coefficient of total order quantity with respect to wind power generation whose capital is uniform when the wind is available and only the call option is exercised
	The coefficient of total order quantity with respect to wind power generation whose capital is uniform when the wind is available and call and put options are both exercised
	Option premium
	Price elasticity of electric user demand/who’s reciprocal cap on electricity users’ funds carbon emission reduction level elasticity of electricity user demand electricity users spontaneous demand
	Climbing and start-up costs
	Power generation operation and energy procurement costs
	Service cost for normal operation and maintenance of wind turbines
	The carbon emissions reduction level
	The carbon emissions reduction level when exercising the put option and replenishment wind energy electricity
	The carbon emissions reduction level when exercising the call option and replenishment of traditional energy electricity
	The grid’s working capital
	The payment proportion for the traditional type of plant when the grid makes electricity procurement ordering
	A part of the grid’s working capital paid for the procurement from the traditional type of plant
	A part of the grid’s working capital paid for the procurement of renewable types of plant
	The call option’s quantities
	The put option’s quantities
	Demand
	The wholesale price offered by the renewable energy type of electricity plant, which also is the strike price of the put option
	The wholesale price offered by the traditional energy type of electricity plant, which also is the strike price of a call option