Optimization and GIS-based combined approach for the determination of the most cost-effective investments in biomass sector

The proposed approach has been applied (as a case study) on Municipality of Ivanjica located in South-West region of Serbia. Municipality of Ivanjica is characterized by both significant forest area and significant forest biomass potential. There are 30 potential primary storages locations and 57 potential plants locations determined by geographic information system. However, only one of potential locations of plant and two of potential primary storage locations (6% of available potential) are determined by mathematical optimization as optimal and could be used under current conditions.