Life cycle optimization for hydrogen supply chain network design

Abstract

Hydrogen is central to meeting the challenge of climate change. The lack of infrastructure to produce, store, and deliver hydrogen is a significant obstacle to transitioning toward a hydrogen economy. For two decades, researchers have been interested in modeling the hydrogen supply chain network to provide managerial insights for decision-makers. We contribute to this research domain by introducing the life cycle optimization (LCO) modeling framework into the hydrogen supply chain network design (HSCND). Specifically, the life cycle costing (LCC) methodology and the life cycle assessment (LCA) approach are integrated through a bi-objective optimization. The two objectives are levelized cost of hydrogen (LCOH) and global warming potential (GWP) intensity. The problem is solved by implementing an ε-constraint method. The developed LCO framework is applied to a case study in Franche-Comté, France. Results obtained suggest that the introduction of LCC has a major impact on capital costs. The LCA, especially the life cycle inventory (LCI) approach, enables the LCO model to estimate emissions reasonably. The Pareto front obtained by solving the bi-objective model provides a holistic view of turning points. It is concluded that the modeling framework proposed in the paper can provide decision-makers with (i) comprehensive reflection of hydrogen supply network costs; (ii) a detailed description of hydrogen supply chain network-related emissions; and (iii) the quantification and visualization of the trade-off between costs and emissions.