IDEAS home Printed from https://ideas.repec.org/a/eee/energy/v284y2023ics0360544223026166.html
   My bibliography  Save this article

Optimization under uncertainty of a hybrid waste tire and natural gas feedstock flexible polygeneration system using a decomposition algorithm

Author

Listed:
  • Subramanian, Avinash S.R.
  • Kannan, Rohit
  • Holtorf, Flemming
  • Adams, Thomas A.
  • Gundersen, Truls
  • Barton, Paul I.

Abstract

Market uncertainties motivate the development of flexible polygeneration systems that are able to adjust operating conditions to favor production of the most profitable product portfolio. However, this operational flexibility comes at the cost of higher capital expenditure. A scenario-based two-stage stochastic nonconvex Mixed-Integer Nonlinear Programming (MINLP) approach lends itself naturally to optimizing these trade-offs. This work studies the optimal design and operation under uncertainty of a hybrid feedstock flexible polygeneration system producing electricity, methanol, dimethyl ether, olefins or liquefied (synthetic) natural gas. A recently developed C++ based software framework (named GOSSIP) is used for modeling the optimization problem as well as its efficient solution using the Nonconvex Generalized Benders Decomposition (NGBD) algorithm. Two different cases are studied: The first uses estimates of the means and variances of the uncertain parameters from historical data, whereas the second assesses the impact of increased uncertain parameter volatility. The value of implementing flexible designs characterized by the value of the stochastic solution (VSS) is in the range of 260–405 M$ for a scale of approximately 893 MW of thermal input. Increased price volatility around the same mean results in higher expected net present value and VSS as operational flexibility allows for asymmetric exploitation of price peaks.

Suggested Citation

  • Subramanian, Avinash S.R. & Kannan, Rohit & Holtorf, Flemming & Adams, Thomas A. & Gundersen, Truls & Barton, Paul I., 2023. "Optimization under uncertainty of a hybrid waste tire and natural gas feedstock flexible polygeneration system using a decomposition algorithm," Energy, Elsevier, vol. 284(C).
    • Handle: RePEc:eee:energy:v:284:y:2023:i:c:s0360544223026166
    DOI: 10.1016/j.energy.2023.129222
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0360544223026166
    Download Restriction: Full text for ScienceDirect subscribers only
    File URL: https://libkey.io/10.1016/j.energy.2023.129222?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Arthur M. Geoffrion, 1970. "Elements of Large Scale Mathematical Programming Part II: Synthesis of Algorithms and Bibliography," Management Science, INFORMS, vol. 16(11), pages 676-691, July.
    2. Subramanian, Avinash S.R. & Gundersen, Truls & Adams, Thomas A., 2021. "Optimal design and operation of a waste tire feedstock polygeneration system," Energy, Elsevier, vol. 223(C).
    3. Okeke, Ikenna J. & Adams, Thomas A., 2018. "Combining petroleum coke and natural gas for efficient liquid fuels production," Energy, Elsevier, vol. 163(C), pages 426-442.
    4. Khojasteh Salkuyeh, Yaser & Adams, Thomas A., 2015. "Integrated petroleum coke and natural gas polygeneration process with zero carbon emissions," Energy, Elsevier, vol. 91(C), pages 479-490.
    5. Ruth Misener & Christodoulos Floudas, 2013. "GloMIQO: Global mixed-integer quadratic optimizer," Journal of Global Optimization, Springer, vol. 57(1), pages 3-50, September.
    6. Kamil A. Khan & Harry A. J. Watson & Paul I. Barton, 2017. "Differentiable McCormick relaxations," Journal of Global Optimization, Springer, vol. 67(4), pages 687-729, April.
    7. Meerman, J.C. & Ramírez, A. & Turkenburg, W.C. & Faaij, A.P.C., 2012. "Performance of simulated flexible integrated gasification polygeneration facilities, Part B: Economic evaluation," Renewable and Sustainable Energy Reviews, Elsevier, vol. 16(8), pages 6083-6102.
    8. Farhat, Karim & Reichelstein, Stefan, 2016. "Economic value of flexible hydrogen-based polygeneration energy systems," Applied Energy, Elsevier, vol. 164(C), pages 857-870.
    9. Subramanian, Avinash S.R. & Gundersen, Truls & Adams, Thomas A., 2020. "Technoeconomic analysis of a waste tire to liquefied synthetic natural gas (SNG) energy system," Energy, Elsevier, vol. 205(C).
    10. Arthur M. Geoffrion, 1970. "Elements of Large-Scale Mathematical Programming Part I: Concepts," Management Science, INFORMS, vol. 16(11), pages 652-675, July.
    11. Ruth Misener & Christodoulos Floudas, 2014. "ANTIGONE: Algorithms for coNTinuous / Integer Global Optimization of Nonlinear Equations," Journal of Global Optimization, Springer, vol. 59(2), pages 503-526, July.
    12. Subramanian, Avinash S.R. & Gundersen, Truls & Barton, Paul I. & Adams, Thomas A., 2022. "Global optimization of a hybrid waste tire and natural gas feedstock polygeneration system," Energy, Elsevier, vol. 250(C).
    13. Xiang Li & Asgeir Tomasgard & Paul I. Barton, 2011. "Nonconvex Generalized Benders Decomposition for Stochastic Separable Mixed-Integer Nonlinear Programs," Journal of Optimization Theory and Applications, Springer, vol. 151(3), pages 425-454, December.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Subramanian, Avinash S.R. & Gundersen, Truls & Barton, Paul I. & Adams, Thomas A., 2022. "Global optimization of a hybrid waste tire and natural gas feedstock polygeneration system," Energy, Elsevier, vol. 250(C).
    2. Subramanian, Avinash S.R. & Gundersen, Truls & Adams, Thomas A., 2021. "Optimal design and operation of a waste tire feedstock polygeneration system," Energy, Elsevier, vol. 223(C).
    3. Boukouvala, Fani & Misener, Ruth & Floudas, Christodoulos A., 2016. "Global optimization advances in Mixed-Integer Nonlinear Programming, MINLP, and Constrained Derivative-Free Optimization, CDFO," European Journal of Operational Research, Elsevier, vol. 252(3), pages 701-727.
    4. Jana, Kuntal & Ray, Avishek & Majoumerd, Mohammad Mansouri & Assadi, Mohsen & De, Sudipta, 2017. "Polygeneration as a future sustainable energy solution – A comprehensive review," Applied Energy, Elsevier, vol. 202(C), pages 88-111.
    5. Artur M. Schweidtmann & Alexander Mitsos, 2019. "Deterministic Global Optimization with Artificial Neural Networks Embedded," Journal of Optimization Theory and Applications, Springer, vol. 180(3), pages 925-948, March.
    6. Rahmaniani, Ragheb & Crainic, Teodor Gabriel & Gendreau, Michel & Rei, Walter, 2017. "The Benders decomposition algorithm: A literature review," European Journal of Operational Research, Elsevier, vol. 259(3), pages 801-817.
    7. Patriksson, Michael, 2008. "A survey on the continuous nonlinear resource allocation problem," European Journal of Operational Research, Elsevier, vol. 185(1), pages 1-46, February.
    8. Calise, Francesco & de Notaristefani di Vastogirardi, Giulio & Dentice d'Accadia, Massimo & Vicidomini, Maria, 2018. "Simulation of polygeneration systems," Energy, Elsevier, vol. 163(C), pages 290-337.
    9. Steffen Rebennack, 2016. "Computing tight bounds via piecewise linear functions through the example of circle cutting problems," Mathematical Methods of Operations Research, Springer;Gesellschaft für Operations Research (GOR);Nederlands Genootschap voor Besliskunde (NGB), vol. 84(1), pages 3-57, August.
    10. Walter Rei & Jean-François Cordeau & Michel Gendreau & Patrick Soriano, 2009. "Accelerating Benders Decomposition by Local Branching," INFORMS Journal on Computing, INFORMS, vol. 21(2), pages 333-345, May.
    11. Xiang Li & Asgeir Tomasgard & Paul Barton, 2012. "Decomposition strategy for the stochastic pooling problem," Journal of Global Optimization, Springer, vol. 54(4), pages 765-790, December.
    12. Frank, Stephen M. & Rebennack, Steffen, 2015. "Optimal design of mixed AC–DC distribution systems for commercial buildings: A Nonconvex Generalized Benders Decomposition approach," European Journal of Operational Research, Elsevier, vol. 242(3), pages 710-729.
    13. Jaromił Najman & Dominik Bongartz & Alexander Mitsos, 2021. "Linearization of McCormick relaxations and hybridization with the auxiliary variable method," Journal of Global Optimization, Springer, vol. 80(4), pages 731-756, August.
    14. Shi, Tao & Zhou, Jianzhao & Ren, Jingzheng & Ayub, Yousaf & Yu, Haoshui & Shen, Weifeng & Li, Qiao & Yang, Ao, 2023. "Co-valorisation of sewage sludge and poultry litter waste for hydrogen production: Gasification process design, sustainability-oriented optimization, and systematic assessment," Energy, Elsevier, vol. 272(C).
    15. Emily Speakman & Jon Lee, 2018. "On branching-point selection for trilinear monomials in spatial branch-and-bound: the hull relaxation," Journal of Global Optimization, Springer, vol. 72(2), pages 129-153, October.
    16. Xiang Li & Asgeir Tomasgard & Paul I. Barton, 2011. "Nonconvex Generalized Benders Decomposition for Stochastic Separable Mixed-Integer Nonlinear Programs," Journal of Optimization Theory and Applications, Springer, vol. 151(3), pages 425-454, December.
    17. Eduardo Muñoz & Mathias Stolpe, 2011. "Generalized Benders’ Decomposition for topology optimization problems," Journal of Global Optimization, Springer, vol. 51(1), pages 149-183, September.
    18. Emmanuel Ogbe & Ali Almansoori & Michael Fowler & Ali Elkamel, 2023. "Optimizing Renewable Injection in Integrated Natural Gas Pipeline Networks Using a Multi-Period Programming Approach," Energies, MDPI, vol. 16(6), pages 1-24, March.
    19. Ogbe, Emmanuel & Li, Xiang, 2017. "A new cross decomposition method for stochastic mixed-integer linear programming," European Journal of Operational Research, Elsevier, vol. 256(2), pages 487-499.
    20. Abadie, Luis Mª & Chamorro, José M., 2023. "Investment in wind-based hydrogen production under economic and physical uncertainties," Applied Energy, Elsevier, vol. 337(C).

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:energy:v:284:y:2023:i:c:s0360544223026166. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.journals.elsevier.com/energy .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.