Sustainability Driven Olefin Supply Chain Network Design and Optimization under Uncertain Carbon Tax Rate

摘要

In this paper, a three-stage stochastic programming model is proposed for an olefin supply/production network design problem under uncertain settings. This model incorporates probabilistic scenarios and uncertain sets for handling the seasonality of feedstocks supplies and uncertain carbon tax rates, respectively. The Municipal Solid Waste (MSW) is also involved in this model as a complimentary supply for seasonal feedstocks. Integrating the affinely adjustable robust model with the sample average approximation (SAA), a hybrid robust/stochastic solution approach is developed to find the optimal solution. The state of Mississippi is used as a real case study to evaluate the efficiency of the proposed model and solution approach. Experimental results reveal that this model and optimization approach benefit economic and environmental perspectives in olefin production from renewable supplies.