Modelling renewable supply chain for electricity generation with forest, fossil, and wood-waste fuels

In this paper, a multiple objective model to large-scale and long-term industrial energy supply chain scheduling problems is considered. The problems include the allocation of a number of fossil, peat, and wood-waste fuel procurement chains to an energy plant during different periods. This decision...

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Bibliographic Details
Published in:Energy (Oxford) Vol. 36; no. 10; pp. 5984 - 5993
Main Author: Palander, Teijo
Format: Journal Article
Language:English
Published: Kidlington Elsevier Ltd 01.10.2011
Elsevier
Subjects:
Applied sciences
Combinatorial analysis
Decision-support systems
Electricity
Energy
Energy efficiency
energy industry
Exact sciences and technology
Feed-in tariff
forests
Fossils
Fuels
fuels (fire ecology)
heat
Information logistics
issues and policy
linear programming
Mathematical models
Peat
Peat tax
planning
Procurement
renewable energy sources
supply chain
Supply chains
tariffs
Energy efficiency
Feed-in tariff
Decision-support systems
Information logistics
Peat tax
ISSN:0360-5442
Online Access:Get full text
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Summary:In this paper, a multiple objective model to large-scale and long-term industrial energy supply chain scheduling problems is considered. The problems include the allocation of a number of fossil, peat, and wood-waste fuel procurement chains to an energy plant during different periods. This decision environment is further complicated by sequence-dependent procurement chains for forest fuels. A dynamic linear programming model can be efficiently used for modelling energy flows in fuel procurement planning. However, due to the complex nature of the problem, the resulting model cannot be directly used to solve the combined heat and electricity production problem in a manner that is relevant to the energy industry. Therefore, this approach was used with a multiple objective programming model to better describe the combinatorial complexity of the scheduling task. The properties of this methodology are discussed and four examples of how the model works based on real-world data and optional peat fuel tax, feed-in tariff of electricity and energy efficiency constraints are presented. The energy industry as a whole is subject to policy decisions regarding renewable energy production and energy efficiency regulation. These decisions should be made on the basis of comprehensive techno-economic analysis using local energy supply chain models. ► The energy policy decisions are made using comprehensive techno-economic analysis. ► Peat tax, feed-in tariff and energy efficiency increases renewable energy production. ► The potential of peat procurement deviates from the current assumptions of managers. ► The dynamic MOLP model could easily be adapted to a changing decision environment.
Bibliography:http://dx.doi.org/10.1016/j.energy.2011.08.017
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ISSN:0360-5442
DOI:10.1016/j.energy.2011.08.017