Sustainable planning in mining supply chains with renewable energy integration: A real-life case study

Abstract

This paper focuses on sustainable planning of a mining supply chain network from mining sites to demand centers. In the network, wind and solar generators can be installed in mining sites to attain low carbon mining operations. The uncertainty related to the renewable energy resources is taken into account, and to find an effective and reliable planning strategy, we present a novel cost-efficient multi-stage stochastic program in which strategic and tactical planning decisions are integrated. In the stochastic model, beside the economic goal, the greenhouse gas emissions from transportation through the network are mitigated and the social impact of the supply chain is considered using a social life cycle assessment methodology. A real case study in Iran related to the production of zinc concentrates from mines is implemented to demonstrate the applicability of the proposed optimization model in evaluating the economic objective, the sustainability issues, and the infrastructure needs for the renewable energy integration. Furthermore, a sensitivity analysis on main parameters of the problem is performed to drive some managerial insights that help decision makers in sustainable planning of mining supply chains.