Development of a digital twin and fuzzy logic controller for competitive pricing of recyclables in urban waste management: a case study of Kerman, Iran

Abstract

This study introduces an innovative approach to urban waste management in Kerman, Iran, by developing a small-scale digital twin and a fuzzy logic decision support system. The primary goal is to bridge the gap between formal and informal recycling sectors and integrate informal collectors into the formal system. The model, created in MATLAB, integrates both sectors, providing a comprehensive view of stakeholder interactions. By combining "modeling" and "system identification" techniques, the model accurately represents the system's dynamics, validated with historical data. A fuzzy logic controller was designed to optimize competitive pricing strategies for recyclable materials and licensing fees, enabling the municipality to compete effectively with informal recycling networks. The digital twin framework provides a comprehensive model for simulating various scenarios. This approach allows policymakers to assess the impact of different pricing and licensing strategies on municipal revenue, participation rates, and overall system efficiency. The results demonstrate that financial licensing and performance-based discounts can significantly enhance the municipality's market share and revenue. This research demonstrates the potential of digital twin technology in creating resilient and responsive waste management systems, offering valuable insights for similar urban challenges.