Overcapacity-driven regional waste incineration facility network planning with residential land value maximization involved: A case study of Shanghai, China

Abstract

The effective implementation of garbage classification policies in metropolises appears to bring the government into a new quandary about the overcapacity of regional waste incineration facilities (WIFs). This paper proposes a bi-objective robust optimization model to replan the WIFs’ location and their logistics network toward operational cost minimization and regional residential land value maximization. Shanghai is selected as a real-case, and the garbage classification rate and house price fluctuation coefficient are considered as uncertain parameters. All Pareto solutions depict that the regional residential land value released by WIF's closure and subsequent "Not in My Back Yard" effect mitigation is huge, ranging from 74 to 102 billion yuan. Furthermore, the trade-off's robust solutions show that keeping 3 WIFs in the suburbs essentially maximizes the land value, while keeping 6 WIFs evenly distributed throughout the city has the lowest operating cost. Notably, the robust model has good anti-disturbance and the ability to adapt to external changes. As the population migrates to five new cities from the central city and reaches its peak, similar Pareto solutions are observed as those in the baseline scenario without the influence of policies.