Identification of key influencing factors of sustainable development for traditional power generation groups in a market by applying an extended MCDM model

Abstract

With the deepening reform of the power market, the external environment of China's power industry is going through a huge change. China's traditional power generation groups (TPGGs), with assets all over the country, are, due to a lack of market awareness about energy policies, facing serious challenges in developing competitive advantages, improving power transaction modes, optimizing profit models, and even realizing basic corporate strategies. In this study, we focus on identifying the key factors influencing sustainable development in an unprecedented market environment for TPGGs, so as to achieve overall sustainable development for the whole power generation sector in China. A hybrid framework based on Multiple-Criteria Decision-Making (MCDM) was proposed to recognize the key influencing factors under vague rule conditions. We developed a novel method combining three different MCDM methods with triangular fuzzy numbers (TFNs), fuzzy Delphi, fuzzy Decision-Making Trial and Evaluation Laboratory (DEMATEL), and Analytic Network Process (ANP), to cover uncertainty and make the problem-solving approach closer to the actual problem. A series of analyses indicate that the final 14 factors covering the five dimensions are considered to be important factors in the sustainable development of TPGGs. Based on the results, it can be said that "Gross energy margin" and "Pricing bidding strategy" dominate the impacts of TPGG's sustainable development. Finally, we give some advice relating to practical measures to help TPGGs achieve sustainable development in the market-oriented industry environment.