Table 4 Values for all parameters

T

Compliance period (year)

10

Pc ₀

Initial coal price (Yuan/ton)

454.17

Pg₀

Initial natural gas price (Yuan/m³)

2.41

h_c

Coal thermal efficiency (t_coal/MWh)

0.378

h_g

Natural gas thermal efficiency (t_gas/MWh)

101.158

e_c

CO₂ emission intensity for coal power (t_CO2/MWh)

0.897

e_g

CO₂ emission intensity for gas power (t_CO2/MWh)

0.388

η_c

Generation efficiency for coal power

0.311

η_g

Generation efficiency for gas power

0.326

r

Risk-free interest rate

0.0252

H

Hurst exponent

0.6456

σ

Volatility coefficient for energy-switching prices

0.1517

δ

Depreciation rate of abatement equipment

0.20

σ^I

Volatility coefficient for emission-reduction demand

0.02