Toward net-zero carbon manufacturing operations: an onsite renewables solution. Issue 3 (March 2017)

• Record Type: Journal Article
• Authors: Li, Binbin; Tian, Yu; Chen, Fred; Jin, Tongdan
• Is Part Of: Journal of the Operational Research Society. Volume 68:Issue 3(2017)
• Page Start: 308
• Page End: 321
• Publication Date: 2017-03
• Subjects: sustainable operations -- green energy coefficient -- net metering -- distributed generation -- demand response; Operations research -- Periodicals; 658.4034
• DOI: 10.1057/s41274-016-0014-5
• Languages: English
• ISSNs: 0160-5682

Abstract

Abstract A growing number of manufacturing firms are striving to achieve eco-friendly operations through onsite wind or solar generation. This paper proposes a zero-carbon power supply model to guide the integration of onsite renewable energy into manufacturing facilities. We intend to address two fundamental questions: (1) Is it cost-effective to deploy onsite wind turbines and solar photovoltaics (PVs) systems to achieve net-zero carbon environmental performance? (2) Is the renewable generation system able to meet the electricity demand despite the power intermittency? To answer these questions, we formulate a stochastic optimization model to minimize the levelized cost of onsite renewable energy. The goal is achieved by optimizing the sizing of wind and solar generating units. The proposed energy solution is tested in ten cities around the world under diverse climatic conditions. While PV is still expensive, we conclude that manufacturers could realize zero-carbon emissions at affordable cost provided the local wind speed is above 5 m/s.