A Strategic-Tactical Analysis of Biomass To Bioenergy Value-Creation Network

The initial step in effectively planning the biomass value-chain network is to obtain accurate information and employ consistent measurement methods for the spatial distribution, collection, and transportation of residues to energy producers. This study presents a generic integrated strategic-tactical decision-making tool that achieves two key objectives: (i) identifying the quantity and location of technically available residue biomass, which is a byproduct of commercial plantations and agriculture crops, across diverse landcover/landuse types, and (ii) determining the optimal sites for potential bioenergy facilities by utilizing logistics cost models. To do so, first, remote sensing techniques were employed, in combination with spatial analyses, to assess the feasibility of such initiatives in a spatially explicit manner for an extended pilot region located in northeast Iran. Next, a multi-objective bi-level optimization model was developed to estimate logistics costs and determine the optimal location for bioenergy facilities. The approach was implemented to a large case study covering an area of 20,000 km2, where the National Iranian Gas Company is seeking alternative energy sources to replace fossil fuels. The strategic analysis confirmed a mean annual density of residual biomass supply of 21.6±0.15 Mg ha−1 year−1 was determined, which resulted in an estimated yearly supply of 1,867 Gg across the entire 20,000 km2 study area. The numerical results of the optimization model indicated that the optimal solution involves the allocation of two sites, with a combined capacity of 3,888 Mwh-1 and a delivery cost of $16 Mwh-1 within a distance threshold of 75 km in order to utilize all accessible residues.