Long-Range Investment Assessment in a Petrochemical Industry: Cost and Safety Considerations

• Published in: Computers & chemical engineering 2022-05, Vol.161, p.107737, Article 107737
• Main Authors: Boaventura, Karla M., Peixoto, Fernando C., Fernandes, Heloísa L.S., Pessoa, Fernando L.P.
• Format: Article
• Language: English
• Subjects: Investment assessment; Multi-objective optimization; Petrochemical industry; Process risk
• ISSN: 0098-1354; 1873-4375
• DOI: 10.1016/j.compchemeng.2022.107737

•Optimization for trading off cost against risk in petrochemical industry planning.•The mixed-integer multiperiod model includes risk and cost objectives.•A total hazard degree is assigned to each petrochemical process.•The multi-objective model is applied to the Brazilian petrochemical industry.•Investment in capacity expansion of 15 polymerization processes in Brazil suggested. The aim of this study is to present a mixed-integer multi-objective optimization model to indicate investment in new petrochemical units over a given period, so that the total cost of a petrochemical industry and a risk function are the functions to be minimized. The Brazilian petrochemical industry is used as a case study to illustrate the application of the multi-objective optimization model. It is noticeable that fifteen polymerization processes, as Nylon 6 and polyether polyol, are selected for investment in new process units in all scenarios. Also, model solutions suggest that some petrochemicals, such as p-xylene, should be produced by two different chemical processes, so that a trade-off between cost and risk is maintained. In general, results indicated that the model can be used to support the decision-making process in assessing investment in new petrochemical plants, in order to reduce the risk and the total cost of the petrochemical industry.