The development of a cost model for two supply chain network scenarios for decentralized pyrolysis system scenarios to produce bio-oil

Bio-oil, produced through fast pyrolysis, can act as an intermediate, which can be further upgraded to biofuels. Fast pyrolysis is done in either a centralized or a decentralized (mobile pyrolysis system [MPS]) system. In a centralized system, biomass is transported to a plant to produce bio-oil, which is upgraded in the same unit, while in a decentralized system, the mobile plant is moved to the forest to produce bio-oil, which is transported to an upgrading facility. The objective of this study is to develop supply chain models and conduct a techno-economic assessment of bio-oil production in these two systems using the developed models. For both systems, the bio-oil plant capacity is considered to be 2000 dry t d−1. Because the capacity of an MPS ranges from 10 to 100 dry t d−1, several mobile pyrolysis units are required to achieve the target bio-oil produced in the base case capacity. In this study, models were developed for each supply chain network allocation scenario/configuration for MPS site location (the radial scenario and the truncated scenario) and four relocation time scenarios were assumed (yearly, semi-annually, quarterly, and monthly). Then, bio-oil production costs were evaluated and compared those with a centralized plant. For a 2000 dry t d−1 biomass plant, bio-oil production costs are 0.241$ L−1, 0.349 $ L−1, and 0.407 $ L−1 for the centralized plant, the MPS truncated scenario (100 dry t d−1 MPS unit, yearly relocation), and the MPS radial scenario (100 dry t d−1 MPS unit, yearly relocation), respectively. •Centralized and mobile pyrolysis systems (MPS) were investigated to produce bio-oil.•The capacity of an MPS unit ranged from 10 to 100 dry t d−1.•For an MPS, two allocation scenarios were considered: radial and truncated.•Bio-oil production costs for the two systems were assessed and compared.•The base case plant capacity was varied for both systems.