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Research article2022Peer reviewedOpen access

Optimal localisation of agricultural biofuel production facilities and feedstock: a Swedish case study

Nordin, Ida; Elofsson, Katarina; Jansson, Torbjörn


Policies for investment in biofuel production facilities and feedstock may be necessary in order to meet climate and renewable energy targets. These policies entail a trade-off between high transportation costs of biomass and economies of scale of production facilities. We develop a spatial optimisation model and investigate the cost-effective localization of production facilities for ethanol from agricultural land in Sweden. Feedstock costs are found to be most important in determining the location, although high feedstock density motivates locating large facilities in areas with high feedstock costs. At higher production, feedstock from the whole country is preferred despite high transport costs.


Agricultural land use; biofuel; climate policy; cost-effectiveness; localisation; spatial optimisation

Published in

European Review of Agricultural Economics
2022, Volume: 49, number: 4, pages: 910-941

      SLU Authors

      • Elofsson, Katarina

      • Sustainable Development Goals

        Ensure access to affordable, reliable, sustainable and modern energy for all

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