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INFORMS Philadelphia – 2015

393

WA60

60-Room 111A, CC

Electricity Access in Developing Countries

Sponsor: ENRE – Energy I – Electricity

Sponsored Session

Chair: Valerie Thomas, Professor, Georgia Institute of Technology,

755 Ferst Drive, NW, Atlanta, United States of America,

valerie.thomas@isye.gatech.edu

1 - The Case for Distributed Energy in the Developing World

Todd Levin, Energy Systems Engineer, Argonne National

Laboratory, 9700 S Cass Ave, Lemont, IL, 60439,

United States of America,

tlevin@anl.gov

, Valerie Thomas

In developing countries where infrastructure is underdeveloped, there may be

potential for decentralized technologies to leapfrog the centralized electrification

model. We present a service based economic analysis that incorporates the true,

unsubsidized cost of energy access in rural regions. We show that distributed

options may be cost-effective if consumption is modest and suggest that some grid

subsides may be more effectively channeled to support distributed approaches to

energy access.

2 - Risk-aware Control of Solar Micro-grids

Carlos Abad, Columbia University, 500 W 120th St. Rm 321,

New York, NY, 10027, United States of America,

carlos.abad@columbia.edu

, Garud Iyengar, Vijay Modi

Providing power to widely spread out communities using the conventional power

grid is not economically feasible. The most attractive alternative source of

affordable energy for these communities is solar micro-grids. We discuss risk-

aware robust methods to optimally size and operate micro-grids in the presence of

uncertain demand and uncertain generation. These algorithms help system

operators to increase their revenue while making their systems more resilient to

inclement weather conditions.

WA61

61-Room 111B, CC

Research in Environmentally Sustainable and Socially

Responsible Operations

Sponsor: ENRE – Environment I – Environment and Sustainability

Sponsored Session

Chair: Jason Nguyen, University of Minnesota, 321 19th Ave S,

Minneapolis, MN, 55455, United States of America,

nguy1762@umn.edu

1 - Perceived Operational Impacts and Investment in

Carbon Abatement

Chien-ming Chen, Nanyang Technological University,

50 Nanyang Avenue, Singapore, Singapore,

cmchen@ntu.edu.sg

,

Maria Montes-sancho

This study examines how the perceived operational impacts from reducing carbon

emissions are associated with long-term investment in environmental technology

portfolios. We examine our hypotheses based on recent carbon disclosure data.

2 - Evaluating Alternative Strategies for Fostering Responsibility

Among Suppliers

Avijit Raychaudhuri, PhD Candidate, Nanyang Business School,

Nanyang Technological University, 50 Nanyang Avenue, South

Spine S3-01B-73, Singapore, 639798, Singapore,

avijit001@e.ntu.edu.sg,

Fang Liu, S Viswanathan

We look at global supply chains which comprise suppliers of varying degrees of

responsibility. In order to promote responsibility in such supply chains, global

buyers generally follow a strategy of dual investment in supplier responsibility

audit and supplier improvement. We evaluate the relative profitability of these

strategies under different scenarios. We also analyze how the buyer’s optimal

investment policy affects supply chain responsibility.

3 - A Bilevel Optimization Model for Bioenergy Contract

Price Determination

Lizhi Wang, Associate Professor, Iowa State University, 3016

Black Engineering, Ames, IA, 50011, United States of America,

lzwang@iastate.edu,

Liu Su, Guiping Hu, Emily Heaton

We study farmers crop selection problem in the face of crop price uncertainty,

yield uncertainty, and environmental concerns. We then propose a bilevel

optimization to help bioenergy companies determine appropriate contract prices

to encourage farmers to switch from conventional crops to energy crops.

4 - Net-zero Carbon Manufacturing and Supply Chain Operations: A

Fantasy or a Possibility?

Tongdan Jin, Texas State University, 601 University Drive,

San Marcos, United States of America,

tj17@txstate.edu

,

An Pham, Fei Sun

We address two fundamental questions confronted by manufacturing and supply

chain design: 1) is it cost-effective to deploy onsite wind and solar power to

achieve net-zero carbon environmental performance? and 2) how to design a

reliable onsite energy system to meet the variable demand without storage

devices? We conclude that zero carbon operations are achievable at affordable

cost provided the local wind speed is above 5 m/s or the overcast days are less

than 35% of a year.

WA62

62-Room 112A, CC

Energy and Supply Chain Management

Cluster: Energy Systems: Design, Operation, Reliability and

Maintenance

Invited Session

Chair: Yao Zhao, Rutgers University, 1 Washington street, Newark, NJ,

07102, United States of America,

yaozhao@andromeda.rutgers.edu

1 - Energy Supply Chain: Insights, Security, and Sustainability

Kwon Gi Mun, PhD Candidate, Rutgers University, SCM, Rutgers

Business School, 1 Washington Park, Newark, NJ, 07102, United

States of America,

kwongimun@gmail.com

, Yao Zhao, Endre

Boros, Rafique Raza

We test and design heuristics and an optimal decision model for introducing new

strategies to design energy supply network. A main contribution is that well-

formulated energy supply network can explain how to ensure energy supply and

energy security. We consider all of possible T&D technology such as HVAC/HADC

together, and we found that a design of energy supply network may cause an

inefficient supply of electricity unless it is optimized with an integrated network.

2 - Expected Value and Chance Constrained Stochastic Unit

Commitment Ensuring Wind Power Utilization

Chaoyue Zhao, Oklahoma State University, 322G Engineering

North, Stillwater, OK, United States of America,

chaoyue.zhao@okstate.edu

In this talk, we propose an expected value and chance constrained stochastic

optimization approach for the unit commitment problem with uncertain wind

power output. A combined SAA framework that considers both the expected

value and the chance constraints is proposed to construct statistical upper and

lower bounds for the optimization problem. Finally,a revised IEEE 118-bus system

is studied to show the scalability of the proposed model and algorithm.

3 - Energy Supply Chain: Future Energy Security

Raza Rafique, Assistant Professor, Lahore University of

Management Science, Suleman Dawood School of Business,

Lahore, 54600, Pakistan,

raza.ali@lums.edu.pk,

Yao Zhao,

Kwon Gi Mun

Electricity crisis is a major hindrance towards economic growth of Pakistan and

poses a serious national security threat to the country. The crisis has resulted into

political turmoil and social instability. We have provided a framework to address

energy supply chain design. The study shows great potential and provide

guidelines to ensure future energy security of Pakistan.

4 - Data-Oriented Decision Making in Demand Response

Weiwei Chen, Assistant Professor, Rutgers University, Rutgers

Business School, Newark, NJ, 07102, United States of America,

wchen@business.rutgers.edu

Demand response (DR) programs have emerged among electric utilities to reduce

peak electricity demand and enhance customer satisfaction. A critical issue is to

accurately estimate the customers’ baseline power consumptions and the load

reduction. A cohort based approach is introduced to improve the estimation

accuracy utilizing customer historic data. Then, methods to manage various DR

events considering exogenous information are developed to optimize the

expected savings for utility companies.

WA62