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Modal split in offshore supply network under the objective of emissions minimization
Institution:1. Molde University College, P.O. Box 2110, N-6402 Molde, Norway;2. Statoil ASA, P.O. Box 7200, N-5254 Sandsli, Norway;1. School of Astronautics, Harbin Institute of Technology, Harbin 150080, China;2. Nonlinear Analysis and Applied Mathematics (NAAM) Research Group, Department of Mathematics, Faculty of Science, King Abdulaziz University, Jeddah 21589, Saudi Arabia;3. Nonlinear Analysis and Applied Mathematics Research Group (NAAM) and Mathematics Department, Faculty of Science and Arts (Khulais), King Abdulaziz University, Jeddah 21589, Saudi Arabia;1. Department of Civil and Environmental Engineering, University of Illinois at Urbana-Champaign, Urbana, IL 61801, United States;2. Department of Agricultural and Biological Engineering, University of Illinois at Urbana-Champaign, Urbana, IL 61801, United States;1. Department of Electromechanical Engineering, University of Macau, Macau, China;2. Department of Computer and Information Science, University of Macau, Macau, China;1. Faculty of Business Administration, Memorial University, Canada;2. DeGroote School of Business, McMaster University, Canada;1. Delft Center for Systems and Control, Delft University of Technology, 2628 CD Delft, The Netherlands;2. Department of Maritime and Transport Technology, Delft University of Technology, 2628 CD Delft, The Netherlands
Abstract:We study modal split under the objective of emissions minimization in the transportation of cargo from centralized vendors in the oil and gas industry to decentralized supply bases on the Norwegian coast. The supply network includes direct road transport and a sea route along the coast. To gain insight into modal split decisions between road and sea transport from the shipper’s perspective multi-period mixed integer optimization models are formulated. Particularly the models give possibilities to examine how weekly demand patterns at supply bases, cargo commitments to sea transport, storage possibilities at supply bases, and shipper’s responsibility for a certain share of vessel capacity may effect the emissions and the modal split. Experiments on real data from an oil and gas company operating offshore show that the size of the share of vessel capacity and the possibility for storage at supply bases are the major determinants for a larger shift to environmentally friendly sea transport. The models can be used as means for making decisions regarding how a shipper can commit to sea transport to achieve less emissions.
Keywords:Emissions  Modal split  Supply network  Optimization model  Oil and gas industry
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