Multi-Period Supply Chain Design and Optimization for Modular Methanol Production Driven by Renewable Energy

Abstract

Incorporating renewable energy into the methanol production process is considered a feasible way to reduce carbon emissions and consume renewable energy. This work presents a multi-period model for designing and optimizing the supply chain of a modular methanol production system driven by renewable energy. The model aims to satisfy the methanol demands of each demand site on a monthly basis, considering the differences in renewable energy distribution and methanol demands. The objective is to obtain the optimal methanol production sites and supply chain network configurations. According to the supply chain results, the modular methanol production system can adjust the number of production line operations and the supply chain network to adapt the changes of methanol demands. The total annual cost is 4.85×109 CNY. The total capital cost is the biggest contributor with 49.60%, followed by the electricity cost in operating cost with 33.55%. In order to improve the economy of the system, combinations of production lines with different capacities and the development of heat transfer systems between different production lines can be adopted.

Keywords: Methanol modular production, Renewable energy, Multi-period model, Supply chain