(372i) Involving Economic Incentives in Optimizing the Methanol Supply Chain Considering Conventional and Unconventional Resources
Finally, the multi-objective function consists in maximizing Profit which involves the sale of methanol, natural gas and petroleum produced, plus the economic incentives obtained minus all the expenses related to extraction, treatment and distribution of each product; the minimizing of the total fresh water used in production of unconventional and conventional natural gas, and minimizing the total emissions generated in the different processes. The proposed model is a Mixed Integer Linear Programming problem and it was implemented in the software GAMS, where the solver DICOPT was used to solve the addressed work.
To prove the proposed methodology, it was applied to a case study from Mexico, two different schemes are analyzed, scheme A does not consider the uncertainty or economic incentives, and scheme B considers uncertainty, economic incentives and restrictions on the importation of methanol. Results show that by encouraging the national production of new methanol plants, the incentives generated are up to 113% better than if the importation and production of the only existing plant in Mexico were used.