Agriculture Reference
In-Depth Information
of set
J.
Each scenario, or each line in the grid, includes energy crop
quantities produced, or surfaces cultivated (variables in the agricultural
sector model). Prices of energy crops at the plant gate represent costs of
raw material inputs for industry. Then capacities of transformation units
required to process these quantities, bio-fuel quantities produced, industry
surpluses, and finally total government spending, can be determined using
parameters related to the bio-fuel
chains
examined (Box 2, industry
model).
Box 2. Bio-fuel industry model specification
Indices (additional to the agricultural sector model, see Box 1)
index for bio-fuel by-products (
Bp =
{DDGS, rape-seed cakes,
glycerine}),
index for
m
-tuples of prices (for each energy crop)
index for couples of 'energy crop converted to bio-fuel'
binary relation that indicates all combinations between energy crops and
bio-fuel chains
index for couples of 'by-product related to bio-fuel'
binary relation that indicates all combinations between energy crops and
bio-fuel chains
index for binary variables of conversion units (for each bio-fuel),
k={1,2,3,4}
index for
n
-tuples of unitary tax credits (in case of parameterisation)
Parameters (additional to the agricultural sector model, see Box 1)
bio-fuel
b
market price (FF/hl)
by-product
bp
market price (FF/hl)
variable conversion cost of energy crop
d
to bio-fuel
b
(FF/hl)
fixed cost of crop
d
processed to produce biofuel
b
(FF)
technical coefficient of conversion of crop
d
to bio-fuel
b
(hl/t)
technical coefficient of conversion of crop
d
to bio-fuel
bp
by-product (t
by-product/t biofuel)
G
maximum total public expenditure allowed for bio-fuels (FF)
coefficient of GHG saved per ton of bio-fuel produced
biofuel)
capacity of transformation unit (h1/year)
coefficient of transformation of volume to mass (h1/t)
Decision variables
(parametrically treated) tax credit to industry for bio-fuel
b
(FF/hl)
number of conversion units for processing bio-fuel
b
transform number of conversion units for processing bio-fuel
b
in
discrete variables
quantity of energy crop
d
processed by conversion unit of bio-fuel
b
(t)
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