Energy-oriented production planning with time-dependent energy prices

Based on a more sustainable power generation, companies are faced so far with increasing energy costs for industrial production processes. However, in the future there is a possibility to reduce energy costs by the occurrence of time-dependent energy prices in the course of a day. In order to use these time-dependent energy prices best possible and to manufacture the products at minimal decision relevant costs, production planning approaches have to consider energy costs. To date, time-dependent energy prices are considered in numerous Job Shop Scheduling Problems, but in only few simultaneous lot-sizing and scheduling approaches. Hence, an appropriate model formulation for the consideration of time-dependent energy prices in simultaneous lot-sizing and scheduling and an investigation of the cost saving potential are missing. For this purpose, the Energy-Oriented Lot-sizing and Scheduling Problem (EOLSP) is introduced in this contribution. Furthermore, the energy and total cost saving potential of the presented model formulation compared to conventional planning is discussed within an illustrative example for a pre-crushing system in a recycling company. (C) 2019 The Authors. Published by Elsevier B.V.