Bi-objective optimization modeling for biomass supply chain planning

Abstract

Biomass energy plays an essential role in renewable energy for many reasons, such as reducing the dependence on fossil fuels and lowering greenhouse gas emissions, providing heat, electricity, and biofuels for various applications, and utilizing waste materials for helpful energy products. Besides, it can create employment opportunities and promote rural development, especially in developing countries where biomass resources are abundant and accessible. In the context of renewable energy research and application, this paper aims to develop a multi-objective mixed integer linear programming for designing multiple echelon biomass supply chain networks. The model is formulated to consider the economic costs and environmental impact of biomass distribution from the suppliers to the biomass plants. In this research, the Epsilon constraint method is adopted to generate Pareto fonts, which provides the trade-offs between two objectives. Moreover, sensitivity analysis is implemented to provide decision-makers with information about a network with changed parameters such as demand. Our model allows the decision maker to determine the capacity of warehouses and biomass power plants, inventory levels, type of trucks, etc. The proposed model is verified and evaluated using a practical dataset from Can Tho province, Central Mekong River Delta in Vietnam, generating several benefits for energy security and sustainability. Such a network includes 3 types of power plants, 3 scales of warehouses, 13 potential locations, and 41 suppliers. From the generated solutions, with the proportion of biomass electricity satisfaction varying from 5% to 30%, Hung Phu, O Mon, and Cai Rang industrial parks are the most suitable for power plants.