Decision Making Of Suitable Bioenergy Power Plant Location: A Case Study

Abstract

Selection of an appropriate place for biomass power plant is very essential, balance of transported amount and collected amount should be in a balance. Otherwise, transportation cost is going to cause huge loss of profits. According to references that referred in literature review, to determine appropriate places for biomass power plant, facility location problem have applied. This research addresses Facility Location Problem and then Mixed Integer Programming Model is developed which maximizes the potential value of facilities is going to be built. That model is used for solving different size of problems such as number of cities that is going to be selected and transportation budget. After 21 different size of the model is solved, the solution is compared and ideal solution trying to be elected. Therefore, the case of electing 3 cities or 5 cities should have 3 billion budget and 7 city electing should have 5 billion budget with respect to regression trend line. For this purpose, the logistics on Turkey, biomass potential and cost in mind, the most appropriate location and the type of bioenergy plants should be selected in this study.