Development an Optimization Model for Green Supply Chains: Integration of CO2 Disposal and Renewable Energy Supply

This study models a network that simultaneously disposes of CO2 and supplies H-2. It is motivated by the inevitable reality that renewable energy sources cannot entirely replace fossil fuels at one time. Fossil fuels should be used for some time with renewables. Decision supporting tools to maximize the impact of integration must be developed. The proposed model can be used to determine where and how much captured CO2 to sequester. It also determines how much H-2 to produce at which plant and how much to store at which intermediate storage in which physical form. The applicability of the proposed model is demonstrated using the case study of Korea. As a result of the proposed modeling methodology, the importance of systematic planning for an infrastructure to integrate CO2 disposal and H-2 supply is highlighted. The results will be useful both to help decision makers establish a H-2-supply plan, and consequently to identify appropriate strategies to respond to climate change.