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At least 937 records · Page 52

Economic analysis of the benefits to petroleum refiners for low carbon boosted spark ignition biofuels

A refinery modeling framework is developed to estimate the benefits of blending high-quality biofuels directly with refinery gasoline components for attaining a premium grade fuel (also termed as Co-Optima Boosted SI gasoline here). Our results change the paradigm of bio-blendstocks (BBs) being competitors to fossil components, by identifying opportunities for refineries to add value to their product slate, from some favorable BB properties. This potential value can be characterized by calculating the breakeven value (BEV), as defined down below. The proposed modeling framework incorporates extensive data from (1) projected product over the next few decades, (2) crude oil and refinery products pricing, and (3) fuel specifications. The complete refinery models serve as a basis for assessing the value of biofuels, assuming profitability remains the same for representative petroleum refinery configurations. Our assessment showed wide range of variation of biofuels BEV from $\$$20-$\$$120/bbl, within the considered blending level and crude prices. Further, the BEV was correlated with the fuel octane ratings such as octane numbers (research, RON and motor octane numbers, MON) and both antiknock index (AKI, average of RON and MON) and sensitivity (S, difference between RON and MON), with a slightly higher correlation with the sensitivity. However, the expected decrease in gasoline demand for the upcoming years could negatively impact biofuels demand and value, in a business-as-usual scenario. Our analysis also showed a more valuable bio-blendstocks incorporation in smaller refineries since they can enhance the capabilities for producing specialty, high-value fuels/products, and introduce high octane-barrels into otherwise constrained blending operations. Additional implications towards refiners include opportunities to rebalance operations, access to high-value fuel markets, and synchronization with broader transportation industry trends. Furthermore, results indicate the value of Co-Optima boosted spark ignition (BSI) efficiency gains can extend to refiners to incentivize decarbonization and diversified feedstock production.

09 BIOMASS FUELS↗

Economic evaluation of infrastructures for thermochemical upcycling of post-consumer plastic waste

Thermochemical technologies, such as pyrolysis, offer a potentially scalable pathway for upcycling diverse types of plastic waste (PW) into value-added chemicals. However, deploying these technologies in waste management infrastructures is not straightforward because such systems involve a wide range of interdependent stakeholders, processing facilities, and products. In this work, we present a holistic optimization framework that integrates value-chain analysis, techno-economic analysis, and life-cycle analysis for investigating the economic viability and environmental benefits of upcycling infrastructures that collect, sort, clean, and process post-consumer PW for producing virgin polymer resins. The framework is applied to a case study in the upper Midwest region of the US. Our analysis reveals that the infrastructures are economically viable and could activate a regional circular economy that generates over 1 billion USD in annual profit. Moreover, our analysis reveals that this economy can reduce the carbon footprint of PW incineration by half. Our framework also determines the inherent values of post-consumer PW and of derived products such as plastic bales and pyrolysis oil; we find that, in these infrastructures, PW becomes a highly valuable feedstock with a market value of 500 USD per tonne. Here, we discuss how this market value can generate incentives that foster more effective waste pre-sorting practices by consumers that can help bypass material recycling facilities and increase total system profit.

37 INORGANIC, ORGANIC, PHYSICAL, AND ANALYTICAL CH↗

PV O&M Cost Model [SWR-21-14]

This tool presents a method for calculating costs associated with the operation and maintenance (O&M) of photovoltaic (PV) systems. The tool compiles details regarding the cost and frequency of multiple O&M services to estimate annual O&M costs ($/year) for each year of an analysis period, the net present value ($) of life cycle costs accumulated over the analysis period, and the reserve account amount ($) that might be required to fund unexpected repairs. The reserve account includes parts inventory and is important for providing a source of funds to make repairs quickly and avoid lost production. This method allows a detailed selection of services to perform based on system size, market served (e.g., residential, commercial, or utility), type and configuration of system components (e.g., micro-, string, or central inverter), and site and environmental conditions (e.g., pollen, bird populations) which is an improvement over simple per unit valuations of O&M costs ($/kW/year). This model also distinguishes costs that vary from year to year and increase at different rates over time as modeled by heuristic failure distributions (e.g., Weibull or Lognormal distribution) based on actuarial data for many of the services.

Walker, Andy↗

Inexpensive and Sustainable Anti-Corrosion Coating for Power Generation Applications

The goal of the project was to achieve lab-scale demonstration of a corrosion prevention technology, which will facilitate the capture of CO 2 from coal and natural gas fired power generation by reducing the cost of construction materials and maintenance. The project built on technology previously developed by LumiShield to address more broad-based corrosion issues and the results shown will be applicable to a wide range of markets requiring cost effective corrosion resistant coatings. That technology developed is a base layer to improve the performance and reduce the cost of organic anti-corrosion coatings. The impact of those changes on overall plant economics were demonstrated with the help of engineers at AECOM through an initial cost-benefit-analysis at the end of BP1 which will be updated at the end of BP2.

01 COAL, LIGNITE, AND PEAT↗

Rooftop Solar in Lawrence, MA: Community Perspectives, Deceptive Practices, and Financing Options

This report was prepared as part of the U.S. Department of Energy's Communities Local Energy Action Program (Communities LEAP) pilot competitive technical assistance for the Lawrence Massachusetts Stakeholder Coalition (LSC) composed of The City of Lawrence, All In Energy, MassDevelopment, Mill City Community Investments, BlocPower and Groundwork Lawrence, and led by Browning the Green Space. The LSC identified rooftop solar photovoltaics as a top priority for this technical assistance opportunity. Lawrence faces high energy burden and electricity prices, thus rooftop solar can be a tool to help lower those costs. However, the coalition received feedback that some solar companies were using deceptive and unfair practices when marketing, selling, or financing solar energy, costing residents more money than utility rates and increasing the energy burden. This project sought to address rooftop solar community priorities through two pathways: 1. facilitating community engagement to understand community perspectives and experiences with rooftop solar development; and 2. conducting a financial cash-flow analysis highlighting the varying fiscal outcomes for rooftop solar adopters based off rooftop solar leasing, ownership, or buying electricity from the utility (National Grid).

14 SOLAR ENERGY↗

Highly Efficient Magnetocaloric Natural Gas Liquefaction (Final Report)

Over the twelve-month project the following achievements were accomplished: • Liquefication of methane as primary component of natural gas was accomplished with a magnetocaloric liquefier (MCL) prototype. This was the first time an MCL was used to liquefy methane. • Improved MCL designs were completed. • Cooling to 135 K from room temperature was achieved for the first time in a single MCL stage with dual, reciprocating four-layer regenerators. • Techno-economic analysis for a multi-stage 5 tonne/day magnetocaloric liquefier was completed. The detailed thermodynamic analysis of this MCL design showed a figure of merit (FOM) of 0.6 was achievable. This is a ~2x improvement over current state of the art. • Cost of an efficient 5 tonne/day LNG multi-stage liquefier was projected to be ~$\$$3.1 MM for the 5 tonne/day MCL with achievable design assumptions. • Market study of U.S. merchant LNG demand by energy sector was completed showing that at beginning of 2019, total use was ~2.5 million gallons/day primarily in three sectors that was filled by ~20 small companies in the merchant LNG supply business producing ~2.3 million gpd. These data exclude LNG produced at dedicated peak shaving and large export plants. • Business case for MCL technology based on LNG market study was completed showing the high FOM feature of MCL reduces cost of plant power, and lower capital cost reduces debt repayment and plant depreciation operating expenses. However, today’s demand for U.S. merchant LNG in most sectors is satisfied with conventional technology. Further, with today’s extremely low natural gas (NG) feedstock costs (e.g., ~$\$$1.8/MMBtu), the cost of fuel for NG gensets and for LNG feedstock is already very low. Therefore, possible new merchant LNG liquefier plant developers anticipating demand growth in the transportation, industrial, and electricity generation sectors do not obtain sufficient cost benefits to adopt new, commercially unproven MCL technology. • Other market factors such as remoteness from existing NG pipelines, or unfilled or unsatisfied applications such as boil-off gas re-liquefaction in LNG vessels, or policy factors such as some form of emissions-related fees may make lower capital costs and higher FOM of MCL technology attractive for new small-scale (~50 tonne/day) LNG plants. Two potentially attractive niche markets for MCL technology were identified: i) re-liquefaction of boil-off gas from large LNG transport vessels where severe transport conditions are problematic for conventional technology; and ii) providing LNG in distributed-scale plants that eliminate road transport costs to meet diverse, smaller-scale, distributed LNG bunkering fuel demands. By eliminating significant cryogenic tanker delivery costs and create an attractive cost-savings benefit with small-scale MCL plants.

03 NATURAL GAS↗

High-Speed Layup and Forming of Automotive Composite Components

This Project is focused on the design and manufacture of automotive components that meet functional and environmental requirements of an existing automotive application at a cost of ≤ $\$$11.00 per kilogram weight reduction. This project fosters the development of composite material technologies suitable for high volume automotive processes and run rates as well as industry workforce development with these technologies. Current automotive manufacturing involves utilizing steel or aluminum in sheet form which is rapidly stamped into components at rates up to 3600 per hour. The metallic sheets are available in many different thicknesses, strength levels, and manufacturing rates are reasonable independent of part size. While composite materials are available for use in automotive applications, the material cost, labor to manufacture and the processing of the waste far exceed the cost compared to metallic designs. Typical composite layer by layer layup procedures don’t meet the desired 60 second layup time that current automotive processes require and are also restricted by part size. Due to these factors, composites have not yet made advances into today’s high volume automotive applications. Industry partners DURA, BASF, Ford, and IACMI core innovation partner MSU collaborated to develop a manufacturing process technology that is capable of manufacturing composite blanks at high volume and independent of part size. IACMI core innovation partner Purdue provided FEA analysis and cost modelling. The objective of this project was to demonstrate a composite sheet layup and consolidation process that can be commercialized for high volume requirements, identify potential layup equipment suppliers, and develop a process of 60 second layup, forming, and trimming of a continuous fiber automotive component for the mainstream market.

42 ENGINEERING↗

Models for Facilitating Government-Funded Activities in the Post-ISS LEO Ecosystem

NASA is preparing for the retirement of the ISS and transition of LEO activities to one or more Commercial LEO Destinations (CLDs) by 2030. This transition necessitates new models for connecting NASA and other government-funded users of the LEO environment to platforms and opportunities. This paper describes for consideration six models for facilitating government-funded activities in the post-ISS LEO ecosystem. These six models are illustrative and represent a wide trade space of potential options, each relying on unique mechanisms for facilitating activities on one or more commercial LEO platforms or vehicles. We assessed each model across three possible future scenarios varying in number and diversity of LEO activities and commercial offerings, and across five stakeholder-driven model evaluation criteria. We present the highlights of the analysis, including ways to modify and strengthen each model. The Government Research Broker model performs best across all future scenarios, followed by Innovation Campus, Anchor Tenant, and Fee for Service. While Matchmaker and Institute Network exhibit positive aspects, these models perform most favorably in future scenarios with well-established communities and markets. While each model has strengths and weaknesses, no single model in its current form performs well across all criteria in all three future scenarios. NASA leadership can adjust models as desired to align closer to their priorities using combinations of unique model mechanisms. A model that meets leadership priorities is likely a combination of features from multiple models.

Erica Rodgers↗

Models for Facilitating Government-Funded Activities in the Post-ISS LEO Ecosystem

NASA is preparing for the retirement of the ISS and transition of LEO activities to one or more Commercial LEO Destinations (CLDs) by 2030. This transition necessitates new models for connecting NASA and other government-funded users of the LEO environment to platforms and opportunities. This paper describes for consideration six models for facilitating government-funded activities in the post-ISS LEO ecosystem. These six models are illustrative and represent a wide trade space of potential options, each relying on unique mechanisms for facilitating activities on one or more commercial LEO platforms or vehicles. We assessed each model across three possible future scenarios varying in number and diversity of LEO activities and commercial offerings, and across five stakeholder-driven model evaluation criteria. We present the highlights of the analysis, including ways to modify and strengthen each model. The Government Research Broker model performs best across all future scenarios, followed by Innovation Campus, Anchor Tenant, and Fee for Service. While Matchmaker and Institute Network exhibit positive aspects, these models perform most favorably in future scenarios with well-established communities and markets. While each model has strengths and weaknesses, no single model in its current form performs well across all criteria in all three future scenarios. NASA leadership can adjust models as desired to align closer to their priorities using combinations of unique model mechanisms. A model that meets leadership priorities is likely a combination of features from multiple models.

Erica Rodgers↗

Models for Facilitating Government-Funded Activities in the Post-ISS LEO Ecosystem

NASA is preparing for the retirement of the ISS and transition of LEO activities to one or more Commercial LEO Destinations (CLDs) by 2030. This transition necessitates new models for connecting NASA and other government-funded users of the LEO environment to platforms and opportunities. This paper describes for consideration six models for facilitating government-funded activities in the post-ISS LEO ecosystem. These six models are illustrative and represent a wide trade space of potential options, each relying on unique mechanisms for facilitating activities on one or more commercial LEO platforms or vehicles. We assessed each model across three possible future scenarios varying in number and diversity of LEO activities and commercial offerings, and across five stakeholder-driven model evaluation criteria. We present the highlights of the analysis, including ways to modify and strengthen each model. The Government Research Broker model performs best across all future scenarios, followed by Innovation Campus, Anchor Tenant, and Fee for Service. While Matchmaker and Institute Network exhibit positive aspects, these models perform most favorably in future scenarios with well-established communities and markets. While each model has strengths and weaknesses, no single model in its current form performs well across all criteria in all three future scenarios. NASA leadership can adjust models as desired to align closer to their priorities using combinations of unique model mechanisms. A model that meets leadership priorities is likely a combination of features from multiple models.

Erica Rodgers↗

Demonstration of ACCERT Software for Nuclear Power Plant Techno-Economics

In the past few years, there has been a renewed interest in the deployment of nuclear power for decarbonizing the electricity grid as well as a range of industrial applications. As the demonstrations of advanced nuclear power plants start to begin, there will likely be a further increase in this interest. As nuclear is being considered as a part of the energy mix, understanding the cost of nuclear energy becomes increasingly important for all stakeholders including advanced reactor vendors (for making design decisions and marketing their designs), users of nuclear energy (e.g., to estimate the cost of decarbonization of other industries using nuclear), and government (e.g., in capacity expansion models that are used in framing policy). In this summary, we demonstrate a software tool called ACCERT that is currently being developed with funding from the Systems Analysis and Integration (SA&I) program under the Department of Energy’s Office of Nuclear Energy (DOE NE). ACCERT is a cost estimation and techno-economics tool for nuclear power plant applications that includes a database of (a) cost estimates of various ‘reference’ nuclear power plant designs gathered from existing literature, and (b) algorithms developed from these costs that can be used extrapolate the existing costs and perform a bottom-up cost estimation of other designs. A companion summary describes the software and its design in more detail and this summary presents a demonstration for four different nuclear power plant designs: a pressurized water reactor (PWR), high-temperature gas reactor (HTGR), sodium fast reactor (SFR), and a heat-pipe microreactor. The demonstrations include the reference cost estimates and the cost estimates of a modified design for each reference case.

21 SPECIFIC NUCLEAR REACTORS AND ASSOCIATED PLANTS↗

Multicriteria-Based Selection of Microalgae Biorefineries: Biomass Composition Defines the Most Suitable Product Portfolios

The supply of microalgae-derived biofuels and bioproducts will be vital in a global-scale bioeconomy. As the diversity of microalgae strains and their compositional plasticity may yield a wide array of products of market interest, the design of effective biorefineries is a central aspect in the path to making microalgae-based products available in the market. In this way, the conversion of microalgae biomass should be planned to employ mature technologies, while maximizing economic and environmental benefits obtained from a diverse product portfolio. This study applied sequential, hybrid Multicriteria Decision Analyses (MCDA) to aid the decision-making process of outlining the most suitable biorefining pathways for specific compositional profiles. For this, the methodology simultaneously considered multiple technical, economic, and environmental criteria, such as market aspects for the main algae-derived products, potential reduction in greenhouse gas (GHG) emissions provided by the biobased alternatives, and technology readiness level of conversion routes, among others. The framework was tested using productivity and compositional data for 13 high-productivity summer strains cultivated under varying nutrient availability. The analysis pointed to compositional profile being a key driver in defining the core biorefining strategy of algae biomass, with lipid-to-carbohydrate ratios higher than roughly 1 warranting the preferential processing of lipids into hydrocarbon fuels with the remainder of the algae biomass compounds being sent to higher-value applications, such as carboxylic acids and renewable thermoplastic substitutes. An in-depth process simulation, techno-economic assessment (TEA), and life-cycle analysis (LCA) effort was carried out as a closing step to corroborate the results stemming from the proposed framework. This study validates the use of MCDAs as a screening method prior to implementing more time-consuming analysis techniques and makes a compelling case for this approach as a product selection tool on a wide range of algae species, thus helping establish species-agnostic (but composition-driven) biorefineries.

biofuels↗

Evaluating Energy Efficiency Opportunities from Connected and Automated Vehicle Deployments Coupled with Shared Mobility in California

Connected and Automated Vehicles (CAVs) can be considered to be a disruptive transportation technology, with the potential to significantly improve overall transportation system efficiency; however, CAVs may increase induce vehicle miles traveled (VMT) and bring on greater energy consumption. Further, shared mobility is another disruptive transportation event that is reshaping our travel patterns. The primary goal of this project was to extensively collect data from vehicles and associated infrastructure equipped with CAV technologies from both real-world experiments and simulation studies mainly deployed in California, and develop a comprehensive framework for evaluating energy efficiency opportunities from large-scale (e.g., statewide) introduction of CAVs and a wide deployment of shared mobility systems in a variety of scenarios. To quantify the combined impact of CAV and shared mobility on travel behavior, traffic performance, and energy efficiency, a unique mesoscopic simulation-based model was developed for mobility and energy efficiency evaluation considering these disruptive transportation technologies. As a complement to existing studies on nationwide evaluation of CAVs’ energy impacts, this project was focused on data collection efforts and CAV applications under congested traffic environments that are frequently experienced on a massive scale across the major metropolitan areas in California. Extensive real-world data collection supplemented with simulation studies were conducted to cover a variety of CAV and shared mobility scenarios, particularly on scenarios less-explored in the existing research. Another key component of this project was to consider the interaction between different CAV technologies and shared mobility models, and the compound effect on energy efficiency. A comprehensive modeling suite was developed to quantify the impact of new mobility technologies on travel behavior and traffic performance. The developed modeling framework includes an energy intensity module, mode choice module and activity generation module that are integrated into an agent-based BEAM simulation platform to perform impact analysis based on a variety of scenarios. In addition, the RouteE model has been upgraded to incorporate the impact of CAVs on traffic flow, VMT and energy intensity, using micro-simulation data collected from both freeways and urban arterials. A novel fundamental influencing factor (FIF) mode choice model was developed to link CAV and shared mobility components with travel behaviors, and adapted into the BEAM-centered model framework. A statewide energy inventory was constructed under various CAV technology deployment scenarios by incorporating datasets and models for predicting vehicle market share and vehicle usage, which are tightly associated with the penetration of shared mobility systems. Based applying this modeling suite to a calibrated network in Riverside California, it was found that cooperative automated driving in general will improve mobility, but automated vehicles, even when deployed in a shared autonomous fleet, will likely bring an increase of VMT (up to 36%) due to mode shifts and deadheading. Ride-hailing vehicles typically have better energy efficiency and a higher share of electric vehicles, which helps offset the negative impact from VMT increases when estimating the system-level energy consumption. In general, simulation results show a 6% increase in energy consumption for the scenarios with an increasing shift to ride-hailing modes. The statewide analysis based on the National Household Travel Survey (NHTS) sample data is consistent with the findings from the Riverside network and validate the developed clustering-prediction modeling methodology. The outcomes from this project will help close the knowledge gap on recognizing the potential performance and energy impacts of a broad deployment of CAV and shared mobility technologies across a wide range of roadway infrastructure with varying levels of congestion. Results from this project: 1) will support policymakers in steering CAV development and deployment towards an energy favorable direction; 2) reduce uncertainties in estimating energy saving opportunities from new mobility technologies and services; 3) increase the confidence of CAV technology investors both on the infrastructure side (i.e., transportation agencies) and on the vehicle side (i.e., OEMs); and 4) expedite the deployment of energy-efficient CAV and shared mobility applications.

33 ADVANCED PROPULSION SYSTEMS↗

Bioproducts from high-protein algal biomass: An economic and environmental sustainability review and risk analysis

This report has High-protein algal biomass as an important bio-commodity that has the potential to provide a new source of sustainable protein products. Herein is a critical review that identifies 1) the most relevant sustainability findings related to the processing of proteinaceous algal biomass to higher value protein products and 2) the potential pathways to improve life cycle assessment (LCA) and techno-economic analysis (TEA) metrics, including life-cycle carbon dioxide equivalent (CO 2 eq), life cycle energy, and minimum selling price (MSP) of these products. The critical review of the literature revealed a large variation in model input parameters relating to these metrics. Therefore, a Monte Carlo analysis was conducted to assess the risk associated with these input variations. To understand the uncertainties that propagate into high-protein algae to products’ systems, we reviewed more than 20 state-of-the-art unit operations for algal biomass processing., including cell disruption, protein solubilization, protein precipitation and purification, and protein concentration. We evaluated displacement of proteinaceous products by algal-bioproducts, including ruminant feed, aquaculture feed, protein tablets, and biopolymers and biopolyesters, with prices in the market ranging from 1.9 to 120 $\$$ kg -1 protein. This review realized that the MSP of ruminant and non-ruminant feed ranges from 0.65±0.56 to 2.9±1.1 $\$$ kg -1 protein, and bioplastics’ MSP ranges from 0.97 to 7.0 $\$$ kg -1 protein. Regarding LCA metrics, there is limited research on life cycle energy in proteinaceous biomass concentration and bioproduct systems, reported at 32.7 MJ kg protein -1 , for animal feed displacement. Animal feed emissions in the literature report negative fluxes, representing environmental benefits, as low as -3.7 kgCO 2 eq kg -1 protein and positive fluxes, i.e., global warming potential, as high as 12.8 kgCO 2 eq kg -1 protein. There is limited research on bioplastics life cycle emissions reported at 0.6 kgCO 2 eq kg -1 protein. In general, the studies to date of algae-derived protein bioproducts showed similar life cycle emissions to soybean meals, nylon, polymers, and polystyrenes. Our risk analysis realized that more than 50% of scenarios can result in negative-net life cycle CO 2 eq emissions. This review and risk analysis assess and demonstrate the scenarios that improve economic and environmental sustainability metrics in high-protein algal bioproducts systems.

09 BIOMASS FUELS↗

LA100 Equity Strategies. Chapter 8: Equitable Rooftop Solar Access and Benefits

The LA100 Equity Strategies project integrates community guidance with robust research, modeling, and analysis to identify strategy options that can increase equitable outcomes in Los Angeles' clean energy transition. This chapter focuses on analysis of customer-sited rooftop solar and storage as a means to reduce electricity bills for low- and moderate-income (LMI) households, multifamily building residents, and renters, who traditionally lack access to bill savings from rooftop solar. Specifically, NREL modeled customer-sited solar and storage adoption using the Distributed Generation Market Demand (dGen™)1 model through 2035 and developed scenarios to identify programs or policies that could support equitable access to bill savings from rooftop solar or solar-plus-storage. Scenarios tested include a direct-install program for LMI customers, net metering for LMI customers, and equitable distribution of benefits from installing solar between owners and renters of renter-occupied buildings. Research was guided by input from the community engagement process, and equity strategies are presented in alignment with that guidance.

14 SOLAR ENERGY↗

Wholesale Electricity Analysis via Simulation & Learning Experiments (WEASLE): Platform Development and Pilot Competition

This document reports the development of the Wholesale Electricity Analysis via Simulation and Learning Experiments (WEASLE) platform and the pilot competition that was conducted to test the platform. Due to the increasing reliance on variable renewable energy resources for bulk power, the pilot competition, called the Energy Storage Participation Algorithm Competition (ESPA-Comp), was used to test the effect of various market designs on storage utilization and market efficiency. Basic details of the platform are provided, including an overview of the market clearing engine, the battery dispatch and degradation models, electric grid topology and resource mix, and software architecture. Two market designs were tested: a two-settlement market analogous to typical ISO design today, and a multi-settlement market that allows additional forward-trading periods during the real-time market. Results from the pilot competition show that the storage bidding problem is nontrivial and is well suited for future challenges. We find that: 1) all four teams utilized different approaches to the bidding problem, 2) different methodological approaches led to substantially different offer behaviors, 3) resource profits are clustered by team and methodological approach, 4) simulated offers reduced market surplus by about 0.5%, 5) substantially different prices between two-settlement and multi-settlement markets albeit minimal difference in overall market surplus.

24 POWER TRANSMISSION AND DISTRIBUTION↗

An experimental methodology for a fuzzy set preference model

A flexible fuzzy set preference model first requires approximate methodologies for implementation. Fuzzy sets must be defined for each individual consumer using computer software, requiring a minimum of time and expertise on the part of the consumer. The amount of information needed in defining sets must also be established. The model itself must adapt fully to the subject's choice of attributes (vague or precise), attribute levels, and importance weights. The resulting individual-level model should be fully adapted to each consumer. The methodologies needed to develop this model will be equally useful in a new generation of intelligent systems which interact with ordinary consumers, controlling electronic devices through fuzzy expert systems or making recommendations based on a variety of inputs. The power of personal computers and their acceptance by consumers has yet to be fully utilized to create interactive knowledge systems that fully adapt their function to the user. Understanding individual consumer preferences is critical to the design of new products and the estimation of demand (market share) for existing products, which in turn is an input to management systems concerned with production and distribution. The question of what to make, for whom to make it and how much to make requires an understanding of the customer's preferences and the trade-offs that exist between alternatives. Conjoint analysis is a widely used methodology which de-composes an overall preference for an object into a combination of preferences for its constituent parts (attributes such as taste and price), which are combined using an appropriate combination function. Preferences are often expressed using linguistic terms which cannot be represented in conjoint models. Current models are also not implemented an individual level, making it difficult to reach meaningful conclusions about the cause of an individual's behavior from an aggregate model. The combination of complex aggregate models and vague linguistic preferences has greatly limited the usefulness and predictive validity of existing preference models. A fuzzy set preference model that uses linguistic variables and a fully interactive implementation should be able to simultaneously address these issues and substantially improve the accuracy of demand estimates. The parallel implementation of crisp and fuzzy conjoint models using identical data not only validates the fuzzy set model but also provides an opportunity to assess the impact of fuzzy set definitions and individual attribute choices implemented in the interactive methodology developed in this research. The generalized experimental tools needed for conjoint models can also be applied to many other types of intelligent systems.

Turksen, I. B.↗