A Decision-Guided Energy Framework for Optimal Power, Heating, and Cooling Capacity Investment

We propose a Decision-Guided Energy Investment (DGEI) Framework to optimize power, heating, and cooling capacity. The DGEI framework is designed to support energy managers to (1) use the analytical and graphical methodology to determine the best investment option that satisfies the designed evaluation parameters, such as return on investment (ROI) and greenhouse gas (GHG) emissions; (2) develop a DGEI optimization model to solve energy investment problems that the operating expenses are minimal in each considered investment option; (3) implement the DGEI optimization model using the IBM Optimization Programming Language (OPL) with historical and projected energy demand data, i.e., electricity, heating, and cooling, to solve energy investment optimization problems; and (4) conduct an experimental case study for a university campus microgrid and utilize the DGEI optimization model and its OPL implementations, as well as the analytical and graphical methodology to make an investment decision and to measure tradeoffs among cost savings, investment costs, maintenance expenditures, replacement charges, operating expenses, GHG emissions, and ROI for all the considered options.