Location allocation of solid biomass power plants: Case study of Vojvodina

Vojvodina is an agricultural, energy-deficient province of Serbia. The Provincial authorities strongly encourage implementation of renewable energy sources, particularly electricity generation. Based on the biomass study about 5% of the total electricity consumption is targeted for generation from biomass, which can be obtained from a total power plant capacity of about 50 MW. The objectives of the research were to define power plantsʹ locations, based on minimal electricity generation costs, and to investigate financial effects of increasing upper limit of power plantsʹ capacity from the existing 10 to 15 MW. In order to meet the objectives, mapping of biomass potentials in Vojvodina was performed and the coefficient of availability was introduced to define biomass quantities available for this utilization. The mathematical model for solving the location allocation problem of solid biomass power plants for the region with defined biomass potentials and targeted total electric capacity has been developed. The model enables determination of capacity, type and location of solid biomass power plants by tending to facilitate minimal electricity generation costs. The results of the case study indicate that the specific investment costs for power plants have the biggest impact on the selection of power plant capacity and type, and therewith also on location. This is the consequence of the high density of agricultural biomass in Vojvodina and therefore shorter supply distances. Increase of power plant capacity from 10 to 15 MW reduced the average electricity generation costs by approximately 10%.