Characterization of Renewable Energy Utilization Mode for Air-Environmental Quality Improvement through an Inexact Factorial Optimization Approach

Energy-related environmental problems have been hot spot issues in regional energy system sustainable development. Thus, comprehensive planning of energy systems management is important for social and economic development, as well as environmental sustainability. In addition, uncertainties and complexities, as well as their potential interactions pose a great challenge for effective management in energy and environmental system. This study proposes a stochastic factorial energy systems management model to conduct uncertainties and risks in the energy systems, as well as handle their interaction effects among different environmental policies. The developed method can not only tackle uncertainties expressed as probability distributions and even interval values, but also be applied to determine decision alternatives associated with multiple economic penalties if the formulated environmental policy targets are violated. Meanwhile, by introducing the factorial technology, it can analyze a parameter’s impact on the system and their coordination effect. To verify the feasibility and effectiveness of the proposed method, the developed model was applied to a hypothetical case study for energy structure optimization under considering energy supply, SO2 emissions reduction, and environmental quality requirements. Multiple facilities, related environmental pollutants, and energy demand levels were taken into account. Moreover, the key factors of the system and their interaction effect were discovered. The results indicated that the developed method can resolve meritorious uncertainties in decision-making and analysis, generate effective management programming under multi-levels of the proposed energy and environmental systems. The method can be used for supporting the adjustment for allocating fossil fuels and renewable energy resources, analyzing the tradeoff between conflicting economic and environmental objectives and formulating the local policies.