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A hybrid decomposition algorithm for designing a multi-modal transportation network under biomass supply uncertainty

Sushil Raj Poudel, Mohammad Marufuzzaman and Linkan Bian

Transportation Research Part E: Logistics and Transportation Review, 2016, vol. 94, issue C, 1-25

Abstract: This study presents a two-stage stochastic programming model for the design and management of a biomass co-firing supply chain network under feedstock supply uncertainty. To represent a more realistic case, we generate scenarios from prediction errors of the historical and forecasted biomass supply availabilities. We solve the model using a hybrid decomposition algorithm that combines Sample average approximation with an enhanced Progressive hedging algorithm. The proposed algorithm is validated via a real-world case study using data from Mississippi and Alabama. Computational results indicate that the proposed algorithm is capable of producing high quality solutions in a reasonable amount of time.

Keywords: Coal supply chain network; Multi-modal facilities; Sample average approximation; Progressive hedging algorithm; Rolling horizon heuristics (search for similar items in EconPapers)
Date: 2016
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Citations: View citations in EconPapers (17)

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DOI: 10.1016/j.tre.2016.07.004

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