Abstract
Natural gas is third most used fossil fuel and energy resource in the world, with significant increase in its consumption over last 20 years. As a consequence, research in optimisation of its supply chain processes are becoming increasingly significant. This paper aims to develop conceptual framework for material and information flow optimisation in natural gas supply chain and suggests its future use. Based on previous researches on mapping natural gas supply chain, bullwhip effect in natural gas supply chain and simulation models in natural gas supply chain, paper proposes new conceptual framework for material and information flow optimisation in natural gas supply chain. Results of implementation of this framework in natural gas supply chain of Republic of Croatia are presented with all suggestions for improvement explained. Keywords: natural gas supply chain, simulation model, bullwhip effect
Highlights
INTRODUCTIONNatural gas is third most used fossil fuel and energy resource (not renewable resource) in the world, with significant increase in its consumption over last 20 years
Natural gas is third most used fossil fuel and energy resource in the world, with significant increase in its consumption over last 20 years
This paper aims to develop conceptual framework for material and information flow optimisation in natural gas supply chain and suggests its future use
Summary
Natural gas is third most used fossil fuel and energy resource (not renewable resource) in the world, with significant increase in its consumption over last 20 years. It is important that natural gas has 2% increase in consumption in 2019 when compared to 2018, with share in primary energy of 24.2%. Oil is still growing with 0.9% (but less natural gas) and has highest share in primary energy fuels of 33.1 %. Other important energy sources and their share in primary energy are renewables (5.0 %), hydro (6.4%) and nuclear (4.3%) Another crucial benefit of natural gas is a fact that it is a most environmental friendly fossil fuel (it emits less quantities of harmful emissions in environment). Main goal of this paper is to develop and present conceptual framework for material and information flow optimisation in natural gas supply chain. Afterwards material flows optimisation is done based on developed simulation model while information flow is considered through analysis of potential bullwhip effects in natural gas supply chain
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