Sustainability transportation systems make a positive contribution to the environmental, social and economic sustainability of the communities they serve. In this paper we present an integrated continuous review inventory and transportation models with carbon emission regulations. We discuss the economic order quantity model with less than truckload (LTL) and truckload (TL) transportation under carbon tax, carbon cap and cap and trade policies. We find the retailer's optimal order quantity under the carbon emission regulations. We illustrated the numerical examples to compare the expected emission cost under carbon emission regulations.
Sustainability, Inventory, Carbon emission regulations, Economic order quality model, Transportations
