A novel optimization method of carbon reduction strategies implementation for industrial parks

Abstract

The effects of various energy conservation and carbon reduction (ECCR) strategies can differ significantly despite equal investment. Given limited amount of capital expenditure, managers and planners of industrial parks must carefully select from different ECCR strategies and implementation technologies to maximize investment returns. This study establishes mathematical models for four ECCR strategies: forestry carbon sequestration (FCS), carbon capture and utilization (CCU), waste heat recovery (WHR), and photovoltaic (PV). A universal ECCR planning optimization model is constructed to maximize annual economic benefits or carbon emission reduction. Using an industrial park in southern China as a case study, genetic algorithms are utilized to solve the model and validate its feasibility. The study analyzes three key parameters: capital expenditure caps, carbon trading price in the Emission Trading Scheme, and transportation distance of captured CO2 products for sensitivity. The results demonstrate considerable economic benefits of the CCU strategy when demand matches appropriately. However, in cases with limited capital expenditure, implementing small-scale FCS strategies in industrial parks is not advisable from both an economic and environmental perspective.