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The optimal capacity expansion planning for the terminals of the logistics company

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  • Li, Huan
  • Alaküla, Mats

Abstract

To reduce carbon emissions, logistics companies take measures to achieve the climate neutrality target to reach “Green Logistics.” As one of the valuable measures, gradually replacing present fossil fuel vehicles with electric vehicles for parcel delivery and linehaul transportation is scheduled at the terminals of logistics companies. The charging load of a fully electrified vehicle fleet challenges the terminal power system. The integrated optimization of sizing and energy management strategy is employed to design, model, optimize, and compare capacity expansion plans involving different combinations and various energy elements. These plans include upgrading the grid connection through the addition of a new transformer and incorporating renewable energy sources and/or energy storage sources. The evaluation encompasses both technical and economic considerations. The effects of different prices of electricity and components, energy management strategy, and uncertainty of power generation and load demand on the choice of optimal solutions, corresponding component sizes, and overall cost were compared and analyzed. The economic feasibility of upgrading the grid connection is demonstrated to be superior compared to utilizing energy storage sources.

Suggested Citation

  • Li, Huan & Alaküla, Mats, 2024. "The optimal capacity expansion planning for the terminals of the logistics company," Applied Energy, Elsevier, vol. 374(C).
    • Handle: RePEc:eee:appene:v:374:y:2024:i:c:s0306261924013886
    DOI: 10.1016/j.apenergy.2024.124005
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