Chapter 16: Economic Analysis and Future Perspectives of Green Gasoline

Following the Indian government’s mandatory regulation to mix 20% of biofuel with fossil fuel, a technoeconomic–environmental mixed integer linear programming-based optimization model was developed with a multi-layered network design for a multi-time period from 2018 to 2026. The model not only gives the exact location of the sites among 42 potential sites but also shows the connection between the selected sites. The fixed cost (9.42%) and variable cost (90.58%) are studied in detail with the sharing percentage of each of them and the major factors that contribute to them. Life cycle assessment of the supply chain is carried out in order to calculate the amount of greenhouse gas emissions saved in the case of green gasoline and to convert it into greenhouse gas revenue as carbon credits to add to the overall revenue generation. The depreciation and time value of money are incorporated to evaluate the profit using the net present worth methodology. An overall case study is implemented for green gasoline biofuel for a city in a developing nation, namely the city of Pune in India. The model is generic and can be implemented across any terrain.