Sustainable Design and Operations of Shale Gas Supply Chains Using Integrated Hybrid Life Cycle Optimization Models

Abstract

In this paper, we address the sustainable design and operations of shale gas supply chains by proposing an integrated hybrid life cycle optimization (LCO) modelling framework. Unlike the traditional process-based LCO that suffers system truncation, the integrated hybrid LCO supplements the truncated system with a comprehensive economic input-output system. Meanwhile, the integrated hybrid LCO retains the precision in modelling major unit processes within the well-to-wire system boundary compared with the economic input-output-based LCO models. With the help of the integrated hybrid LCO framework, we can automatically identify the optimal sustainable alternatives in the design and operations of shale gas supply chains. To demonstrate the applicability, we present a case study of a well-to-wire shale gas supply chain located in the UK. According to the optimization results, the lowest levelized cost of electricity generated from shale gas is £51.8 /MWh, and the optimal life cycle GHG emissions are 473.5 kg CO2-eq/MWh.