LINEAR PROGRAMMING MODEL FOR THE OPTIMIZATION OF THE BIODIESEL SUPPLY CHAIN IN THE MINDANAO ISLAND OF THE PHILIPPINES

Authors

  • Yra Mae C. Camacho Department of Chemical Engineering, College of Engineering, University of the Philippines Diliman, Quezon City, Philippines 1101
  • Kristin Joy Davila Department of Chemical Engineering, College of Engineering, University of the Philippines Diliman, Quezon City, Philippines 1101
  • Ysabela Angela V. Flores Department of Chemical Engineering, College of Engineering, University of the Philippines Diliman, Quezon City, Philippines 1101
  • Julie Anne D. del Rosario Department of Chemical Engineering, College of Engineering, University of the Philippines Diliman, Quezon City, Philippines 1101

DOI:

https://doi.org/10.11113/aej.v12.16498

Keywords:

Biofuels, Supply allocation, Transportation cost, Linear Programming, Philippines

Abstract

Biofuels are known to have several advantages over fossil fuels including, but not limited to, high abundance of resources, negligible SOx emissions, lower NOx emissions, and more environment-friendly processes. In the Philippines, the biofuels industry is anchored onto the Biofuels Act of 2006 which mandates the use of biofuels made from indigenous sources such as coconut. Despite this, biodiesel is still less preferred by consumers over conventional fuel due to its high cost. This can be attributed to high production costs of biodiesel, wherein 18-28% is credited to transportation of products.  This work proposes a linear programming model to reduce the overall cost of biodiesel by minimizing the transportation cost in the Philippine biodiesel supply chain, using the Mindanao cluster as case study. Multiple scenarios were done to gauge the impact of varying the supply allocation and biodiesel blend on the supply chain. The optimal supply allocation, transportation cost, and carbon footprint of each scenario were determined. A new facility locator feature was also added as an extension of the program. Results also showed high reproducibility using easily accessible programming tools such as Microsoft Excel and Python.

References

R. Ruan, Y. Zhang, P. Chen, S. Liu, L. Fan, N. Zhou, K. Ding, P. Peng, M. Addy, Y. Cheng, E. Anderson, Y. Wang, Y. Liu, H. Lei, and B. Li, 2019."Biofuels: Introduction,” In Biofuels: alternative feedstocks and conversion processes for the production of liquid and gaseous biofuels: Elsevier, 3-43, https://doi.org/10.1016/B978-0-12-816856-1.00001-4

J. Hill, E. Nelson, D. Tilman, S. Polasky, and D. Tiffany, 2006"Environmental, economic, and energetic costs and benefits of biodiesel and ethanol biofuels,” Proceedings of the National Academy of Sciences of the United States of America, Vol. 103, No. 30: 11206-11210,.https://doi.org/10.1073/pnas.0604600103

P. Pamplona, “Hybrid coconut: its potential to help overcome poverty,” Agriculture Monthly, December 2018 [Online].Available: https://www.agriculture.com.ph/2018/12/09/hybrid-coconut-its-potential-to-help-overcome-poverty/ [Accessed May 2020]

Department of Trade and Industry, “Biodiesel - securing the future of Philippine industries,”(n.d.) [Online]. Available: http://industry.gov.ph/industry/biodiesel/ [Accessed May 2020]

P. Corpuz, 2017. Philippine Biofuels Situation and Outlook, RP 1713, United States Department of Agriculture Foreign Agricultural Service, Manila, Philippines

S.D. Ekşioğlu, A. Acharya, L.E. Leightley, and S. Arora, 2019. "Analyzing the design and management of biomass-to-biorefinery supply chain,” Computers & Industrial Engineering, 57(4): 1342–1352 doi: 10.1016/j.cie.2009.07.003

Regional Development Office, 2010. National Economic and Development Authority, Mindanao Strategic Development Framework 2010-2020, Philippines,

D. Foo, R. Tan, H. Lam, M. Aziz, and J. Klemeš. 2013,"Robust models for the synthesis of flexible palm oil-based regional bioenergy supply chain,” Energy, 55: 68-73. doi: 10.1016/j.energy.2013.01.045

B. Liu, 2009 “Facility Location Problem” In Theory and Practice of Uncertain Programming. Studies in Fuzziness and Soft Computing, Springer, Berlin, Heidelberg, 157-165. https://doi.org/10.1007/978-3-540-89484-1_11

J. Pedroso, A. Rais, M. Kubo, and M. Muramatsu, 2012 “Capacitated facility location problem”, In Mathematical Optimization: Solving Problems using SCIP and Python, [e-book], [Online]. Available: https://scipbook.readthedocs.io/en/latest/flp.html

Philippine Coconut Authority 2018. Data from: Summary of coconut oil millers [dataset], Philippine Coconut Authority Trade Directory.

Department of Energy, 2017. Data from: List of Accredited Biodiesel Producers [dataset], Department of Energy List of Biodiesel.

PhilGIS, 2011. Data from: Datasets by Region, PhilGIS: Free Philippine GIS data for educational and nonprofit use [Online]. Available: http://philgis.org/datasets-by-region [Accessed: May 2020]

United States Environmental Protection Agency, 2020, Data from: Emission factors for greenhouse gas inventories [dataset], Greenhouse Gas (GHG) Emissions [Online]. Available: https://www.epa.gov/sites/production/files/2020-04/documents/ghg-emission-factors-hub.pdf [Accessed: May 2020]

Department of Energy, 2020. Data from: Mindanao Prevailing Retail Prices [dataset]. Department of Energy

Economic Research Institute for ASEAN and East Asia, Study of Renewable Energy and Its Effective Usage in East Asia Summit Countries, ERIA Research Project Report No. 9, ERIA, 2018

Environmental and Energy Study Institute 2015. Data from: Fact sheet - vehicle efficiency and emissions standards [dataset]. Available: https://www.eesi.org/papers/view/fact-sheet-vehicle-efficiency-and-emissions-s [Accessed: May 2020]

Zuse Institute Berlin, 2020 “SCIP Optimization Suite: SCIP,” [Online]. Available: scipopt.org/index.php [Accessed: June 2020]

R. Lotilla, 2007 “Biofuels Initiatives in the Philippines”, California Biomass Collaborative 4th Annual Forum, Symposium conducted at Sacramento, California, Marc

Downloads

Published

2022-02-28

How to Cite

C. Camacho, Y. M. ., Davila, K. J. ., V. Flores, Y. A. ., & D. del Rosario, J. A. . (2022). LINEAR PROGRAMMING MODEL FOR THE OPTIMIZATION OF THE BIODIESEL SUPPLY CHAIN IN THE MINDANAO ISLAND OF THE PHILIPPINES. ASEAN Engineering Journal, 12(1), 1–7. https://doi.org/10.11113/aej.v12.16498

Issue

Section

Articles