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A Service Station Location Model to Explore Prospects and Policies for Alternative Transport Fuels: A Case of CNG Distribution in Italy

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Computer-based Modelling and Optimization in Transportation

Part of the book series: Advances in Intelligent Systems and Computing ((AISC,volume 262))

Abstract

CNG is an example of alternative gaseous fuel whose market development requires supply infrastructure (pipelines), refuelling stations and alternative vehicles to exist at the same time, which is known as the “chicken and egg dilemma”. In this chapter, a case study of limited or locally nonexistent market development for CNG in an Italian frontier region is analyzed and a mixed integer non linear programming model is introduced to evaluate the effect of incentive measures envisaged by the regional government to foster refuelling station development. It is found that, taking an entrepreneurs’ perspective of maximizing profits, even with substantial capital grants investors are more likely to choose higher demand areas, in spite of fiercer competition, rather than areas without stations. Subsidies should be more specifically targeted to critical areas to be efficient.

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Author information

Authors and Affiliations

  1. DIEGM, Dipartimento di Ingegneria Elettrica, Gestionale e Meccanica, University of Udine, 33100, Udine, Italy

    Damiana Chinese, Piera Patrizio & Monica Bonotto

Authors
  1. Damiana Chinese
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  2. Piera Patrizio
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  3. Monica Bonotto
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Corresponding author

Correspondence to Damiana Chinese .

Editor information

Editors and Affiliations

  1. UGEI-INESC TEC, Faculty of Engineering, University of Porto, Porto, Portugal

    Jorge Freire de Sousa

  2. Department of Civil, Environmental and Architectural Engineering, University of Padova, Padova, Italy

    Riccardo Rossi

Appendix A

Appendix A

Table A.1 Annual LPG demand at province level
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Table A.2 Economic coefficients
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Chinese, D., Patrizio, P., Bonotto, M. (2014). A Service Station Location Model to Explore Prospects and Policies for Alternative Transport Fuels: A Case of CNG Distribution in Italy. In: de Sousa, J., Rossi, R. (eds) Computer-based Modelling and Optimization in Transportation. Advances in Intelligent Systems and Computing, vol 262. Springer, Cham. https://doi.org/10.1007/978-3-319-04630-3_6

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  • DOI: https://doi.org/10.1007/978-3-319-04630-3_6

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  • Publisher Name: Springer, Cham

  • Print ISBN: 978-3-319-04629-7

  • Online ISBN: 978-3-319-04630-3

  • eBook Packages: EngineeringEngineering (R0)

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