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<p>Palm oil industry generates significant amounts of biomass waste, offering opportunities to establish a circular economy (CE) framework where waste is systematically converted into value-added products. Unlike conventional linear models, this study explicitly integrates circularity as an optimisation criterion alongside profitability in designing a palm oil biomass waste-to-wealth network. This study applies the process graph (P-graph) approach to optimise a palm oil biomass waste-to-wealth network, targeting multiple outputs such as fertiliser, medium-pressure steam, electricity, and transportation fuel while ensuring both circularity and profitability. A key contribution is the formalisation of circularity metrics to evaluate network designs. Results show that the CE-optimised solution (Rank 38) achieved a 2.67% reduction in total resource costs compared to linear models, demonstrating the economic viability of closed-loop systems. However, the trade-off between circularity and profitability necessitates a balanced approach. The Rank 31 solution achieves near-optimal circularity while reducing reliance on imported resource by 28.18% and retaining competitive profitability. Sensitivity analyses further validate the robustness of CE-driven optimization, showing how circular design mitigates inflation risks. An optimal solution was identified, achieving the highest profitability and circularity with a 63.2% reduction in total resource costs and a 4% increase in gross profit. This study provides a replicable framework for embedding circularity into industrial optimisation, offering policymakers and stakeholders actionable strategies to align economic goals with CE principles.</p>

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Optimising the sustainable circular economy of palm oil biomass with a P-graph approach to waste-to-wealth solutions

  • 期刊论文

  • 出版模式：

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  • 发表日期：

    2025年11月19日

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  • Wendy Pei Qin Ng,
  • Xiao Tong Ang,
  • Hon Loong Lam

摘要

Palm oil industry generates significant amounts of biomass waste, offering opportunities to establish a circular economy (CE) framework where waste is systematically converted into value-added products. Unlike conventional linear models, this study explicitly integrates circularity as an optimisation criterion alongside profitability in designing a palm oil biomass waste-to-wealth network. This study applies the process graph (P-graph) approach to optimise a palm oil biomass waste-to-wealth network, targeting multiple outputs such as fertiliser, medium-pressure steam, electricity, and transportation fuel while ensuring both circularity and profitability. A key contribution is the formalisation of circularity metrics to evaluate network designs. Results show that the CE-optimised solution (Rank 38) achieved a 2.67% reduction in total resource costs compared to linear models, demonstrating the economic viability of closed-loop systems. However, the trade-off between circularity and profitability necessitates a balanced approach. The Rank 31 solution achieves near-optimal circularity while reducing reliance on imported resource by 28.18% and retaining competitive profitability. Sensitivity analyses further validate the robustness of CE-driven optimization, showing how circular design mitigates inflation risks. An optimal solution was identified, achieving the highest profitability and circularity with a 63.2% reduction in total resource costs and a 4% increase in gross profit. This study provides a replicable framework for embedding circularity into industrial optimisation, offering policymakers and stakeholders actionable strategies to align economic goals with CE principles.