An Optimization Model in Support of Biomass Co-firing Decisions in Coal Fired Power Plants

Abstract

This chapter provides an optimization model to aid with biomass co-firing decisions in coal fired power plants. Co-firing is a strategy that can be used to reduce greenhouse gas emissions at coal plants. Co-firing is a practice that impacts logistics-related costs, capital investments, plant efficiency, and tax credit collected. The linear mixed-integer programming model we present captures the relationship that exists between biomass usage and the corresponding costs and savings due to production of renewable electricity. We test the performance of the model proposed on a case study developed using data from the State of Mississippi. We perform a sensitivity analyses in order to evaluate the impact of biomass purchasing costs, biomass transportation costs, investment costs, and production tax credit on the cost of renewable electricity.