Stochastic optimization of sustainable hybrid generation bioethanol supply chains

• The design of hybrid generation bioethanol supply chain (HGBSC) changes with standards applied.
• Significant trade-off between the economic, environmental and social aspects is observed.
• Strict sustainability regulations are necessary at higher levels of gasoline replaced with bioethanol.
• 1st generation bioethanol provides economic benefits.
• 2nd generation bioethanol generates environmental and social benefits.

This paper focuses on designing a hybrid generation bioethanol supply chain (HGBSC) that will account for economic, environmental and social aspects of sustainability under various uncertainties. A stochastic mixed integer linear programming model is proposed to design an optimal HGBSC. A case study set in the state of North Dakota in the United States is used as an application of the proposed model. The results suggest that the designs of optimal HGBSC change when different sustainability standards are applied. In addition, sensitivity analysis is conducted to provide deeper understanding of the proposed model.