Approximate dynamic programming for planning a ride-hailing system using autonomous fleets of electric vehicles

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Publication:2178143

DOI10.1016/J.EJOR.2020.01.033zbMATH Open1441.90014arXiv1810.08124OpenAlexW3002585184WikidataQ126304798 ScholiaQ126304798MaRDI QIDQ2178143FDOQ2178143


Authors: Lina Al-Kanj, Juliana Nascimento, Warren Powell Edit this on Wikidata


Publication date: 7 May 2020

Published in: European Journal of Operational Research (Search for Journal in Brave)

Abstract: Within a decade, almost every major auto company, along with fleet operators such as Uber, have announced plans to put autonomous vehicles on the road. At the same time, electric vehicles are quickly emerging as a next-generation technology that is cost effective, in addition to offering the benefits of reducing the carbon footprint. The combination of a centrally managed fleet of driverless vehicles, along with the operating characteristics of electric vehicles, is creating a transformative new technology that offers significant cost savings with high service levels. This problem involves a dispatch problem for assigning riders to cars, a surge pricing problem for deciding on the price per trip and a planning problem for deciding on the fleet size. We use approximate dynamic programming to develop high-quality operational dispatch strategies to determine which car is best for a particular trip, when a car should be recharged, and when it should be re-positioned to a different zone which offers a higher density of trips. We prove that the value functions are monotone in the battery and time dimensions and use hierarchical aggregation to get better estimates of the value functions with a small number of observations. Then, surge pricing is discussed using an adaptive learning approach to decide on the price for each trip. Finally, we discuss the fleet size problem which depends on the previous two problems.


Full work available at URL: https://arxiv.org/abs/1810.08124




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