Robust sustainable canola oil-based biodiesel supply chain network design under supply and demand uncertainty

The excessive consumption of fossil fuels has sparked debates and caused environmental damage, leading the global community to search for a suitable alternative. To achieve sustainable development goals and prevent harmful climate scenarios, the world needs to increase its use of renewable energy. Biodiesel, a clean and eco-friendly fuel with a high flash point and more lubrication than petroleum-based fuels, and without the emission of harmful environmental gases, has emerged as one of the fossil fuel alternatives. To promote the mass-level production of biodiesel, a sustainable supply chain (SC) that does not depend on laboratory production is necessary. For this purpose, this research proposes a multi-objective mixed-integer non-linear mathematical programming (MINLP) model to design a sustainable canola oil-based biodiesel supply chain network (CO-BSCND) under supply and demand uncertainty. This mathematical model aims to minimize the total cost (TC) and total carbon emission while maximizing the total number of job opportunities simultaneously. A scenario-based robust optimization (SBRO) approach is applied to deal with uncertainty. The proposed model is implemented in a real case study in Iran, and numerical experiments and sensitivity analysis are conducted to demonstrate its applicability. The results of this research demonstrate that designing a sustainable supply chain network for the production and distribution of biodiesel fuel is achievable. Moreover, this mathematical modeling makes mass-scale production of biodiesel fuel a possibility. In addition, the SBRO method adopted in this research enables managers and researchers to explore the design conditions of the supply chain network by controlling the uncertainties that affect it. This approach allows the chain's performance to be as close as possible to the actual conditions. As a result, the SBRO method enhances the efficiency of the supply chain network and boosts productivity toward achieving desired goals.

Automated summary

The excessive consumption of fossil fuels has led to environmental damage, prompting the global community to search for a suitable alternative. Biodiesel, a clean and eco-friendly fuel, has emerged as one viable option. To promote mass-level production of biodiesel, a sustainable supply chain network is necessary. This study proposes a mathematical model and scenario-based robust optimization approach to design such a network, resulting in achievable and efficient production and distribution of biodiesel fuel.