IDEAS home Printed from https://ideas.repec.org/a/eee/transb/v45y2011i1p162-175.html
   My bibliography  Save this article

Biofuel refinery location and supply chain planning under traffic congestion

Author

Listed:
  • Bai, Yun
  • Hwang, Taesung
  • Kang, Seungmo
  • Ouyang, Yanfeng

Abstract

This research focuses on planning biofuel refinery locations where the total system cost for refinery investment, feedstock and product transportation and public travel is minimized. Shipment routing of both feedstock and product in the biofuel supply chain and the resulting traffic congestion impact are incorporated into the model to decide optimal locations of biofuel refineries. A Lagrangian relaxation based heuristic algorithm is introduced to obtain near-optimum feasible solutions efficiently. To further improve optimality, a branch-and-bound framework (with linear programming relaxation and Lagrangian relaxation bounding procedures) is developed. Numerical experiments with several testing examples demonstrate that the proposed algorithms solve the problem effectively. An empirical Illinois case study and a series of sensitivity analyses are conducted to show the effects of highway congestion on refinery location design and total system costs.

Suggested Citation

  • Bai, Yun & Hwang, Taesung & Kang, Seungmo & Ouyang, Yanfeng, 2011. "Biofuel refinery location and supply chain planning under traffic congestion," Transportation Research Part B: Methodological, Elsevier, vol. 45(1), pages 162-175, January.
    • Handle: RePEc:eee:transb:v:45:y:2011:i:1:p:162-175
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0191-2615(10)00058-5
    Download Restriction: Full text for ScienceDirect subscribers only
    ---><---

    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. Jayakrishnan, R. & Tsai, Wei T. & Prashker, Joseph N. & Rajadhyaksha, Subodh, 1994. "A Faster Path-Based Algorithm for Traffic Assignment," University of California Transportation Center, Working Papers qt2hf4541x, University of California Transportation Center.
    2. Hillel Bar-Gera, 2002. "Origin-Based Algorithm for the Traffic Assignment Problem," Transportation Science, INFORMS, vol. 36(4), pages 398-417, November.
    3. Marshall L. Fisher, 1981. "The Lagrangian Relaxation Method for Solving Integer Programming Problems," Management Science, INFORMS, vol. 27(1), pages 1-18, January.
    4. Tursun, Umit Deniz & Kang, Seungmo & Onal, Hayri & Ouyang, Yanfeng & Scheffran, Jurgen, 2008. "Optimal Biorefinery Locations and Transportation Network for the Future Biofuels Industry in Illinois," Environmental and Rural Development Impacts Conference, October 15-16, 2008, St. Louis, Missouri 53502, Farm Foundation, Transition to a Bio Economy Conferences.
    5. Eathington, Liesl & Swenson, David A., 2007. "Dude, Where's My Corn? Constraints on the Location of Ethanol Production in the Corn Belt," Staff General Research Papers Archive 12777, Iowa State University, Department of Economics.
    6. Mazzola, Joseph B. & Neebe, Alan W., 1999. "Lagrangian-relaxation-based solution procedures for a multiproduct capacitated facility location problem with choice of facility type," European Journal of Operational Research, Elsevier, vol. 115(2), pages 285-299, June.
    7. Torbjörn Larsson & Michael Patriksson, 1992. "Simplicial Decomposition with Disaggregated Representation for the Traffic Assignment Problem," Transportation Science, INFORMS, vol. 26(1), pages 4-17, February.
    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. Xu, Zhandong & Xie, Jun & Liu, Xiaobo & Nie, Yu (Marco), 2020. "Hyperpath-based algorithms for the transit equilibrium assignment problem," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 143(C).
    2. Nie, Yu (Marco), 2010. "A class of bush-based algorithms for the traffic assignment problem," Transportation Research Part B: Methodological, Elsevier, vol. 44(1), pages 73-89, January.
    3. Chou, Chang-Chi & Chiang, Wen-Chu & Chen, Albert Y., 2022. "Emergency medical response in mass casualty incidents considering the traffic congestions in proximity on-site and hospital delays," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 158(C).
    4. Shen, Wei & Wynter, Laura, 2012. "A new one-level convex optimization approach for estimating origin–destination demand," Transportation Research Part B: Methodological, Elsevier, vol. 46(10), pages 1535-1555.
    5. Zheng, Hong & Peeta, Srinivas, 2014. "Cost scaling based successive approximation algorithm for the traffic assignment problem," Transportation Research Part B: Methodological, Elsevier, vol. 68(C), pages 17-30.
    6. Liu, Zhiyuan & Chen, Xinyuan & Hu, Jintao & Wang, Shuaian & Zhang, Kai & Zhang, Honggang, 2023. "An alternating direction method of multipliers for solving user equilibrium problem," European Journal of Operational Research, Elsevier, vol. 310(3), pages 1072-1084.
    7. Xie, Chi, 2016. "New insights and improvements of using paired alternative segments for traffic assignmentAuthor-Name: Xie, Jun," Transportation Research Part B: Methodological, Elsevier, vol. 93(PA), pages 406-424.
    8. Yu (Marco) Nie, 2012. "A Note on Bar-Gera's Algorithm for the Origin-Based Traffic Assignment Problem," Transportation Science, INFORMS, vol. 46(1), pages 27-38, February.
    9. Yun Bai & Xiaopeng Li & Fan Peng & Xin Wang & Yanfeng Ouyang, 2015. "Effects of Disruption Risks on Biorefinery Location Design," Energies, MDPI, vol. 8(2), pages 1-19, February.
    10. Jafari, Ehsan & Pandey, Venktesh & Boyles, Stephen D., 2017. "A decomposition approach to the static traffic assignment problem," Transportation Research Part B: Methodological, Elsevier, vol. 105(C), pages 270-296.
    11. Xie, Jun & Nie, Yu (Marco) & Yang, Xiaoguang, 2013. "Quadratic approximation and convergence of some bush-based algorithms for the traffic assignment problem," Transportation Research Part B: Methodological, Elsevier, vol. 56(C), pages 15-30.
    12. Bar-Gera, Hillel, 2010. "Traffic assignment by paired alternative segments," Transportation Research Part B: Methodological, Elsevier, vol. 44(8-9), pages 1022-1046, September.
    13. Taesung Hwang, 2021. "Assignment of Freight Truck Shipment on the U.S. Highway Network," Sustainability, MDPI, vol. 13(11), pages 1-11, June.
    14. Rambha, Tarun & Boyles, Stephen D., 2016. "Dynamic pricing in discrete time stochastic day-to-day route choice models," Transportation Research Part B: Methodological, Elsevier, vol. 92(PA), pages 104-118.
    15. Maria Mitradjieva & Per Olov Lindberg, 2013. "The Stiff Is Moving---Conjugate Direction Frank-Wolfe Methods with Applications to Traffic Assignment ," Transportation Science, INFORMS, vol. 47(2), pages 280-293, May.
    16. Du, Muqing & Tan, Heqing & Chen, Anthony, 2021. "A faster path-based algorithm with Barzilai-Borwein step size for solving stochastic traffic equilibrium models," European Journal of Operational Research, Elsevier, vol. 290(3), pages 982-999.
    17. Xu, Meng & Chen, Anthony & Gao, Ziyou, 2008. "An improved origin-based algorithm for solving the combined distribution and assignment problem," European Journal of Operational Research, Elsevier, vol. 188(2), pages 354-369, July.
    18. Zhang, Honggang & Liu, Zhiyuan & Wang, Jian & Wu, Yunchi, 2023. "A novel flow update policy in solving traffic assignment problems: Successive over relaxation iteration method," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 174(C).
    19. Bekhor, Shlomo & Toledo, Tomer, 2005. "Investigating path-based solution algorithms to the stochastic user equilibrium problem," Transportation Research Part B: Methodological, Elsevier, vol. 39(3), pages 279-295, March.
    20. Smith, Mike & Mounce, Richard, 2011. "A splitting rate model of traffic re-routeing and traffic control," Transportation Research Part B: Methodological, Elsevier, vol. 45(9), pages 1389-1409.

    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:transb:v:45:y:2011:i:1:p:162-175. 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.elsevier.com/wps/find/journaldescription.cws_home/548/description#description .

    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.