Application and Optimization of an Energy Hub Concept for an Eco-Industrial Park Development Project : A Case Study at Tofte Industrial Park, Norway

Abstract: The concept of “eco-industrial parks” have been defined to facilitate circular and sustainable use of resources in industrial locations. The term encompasses industrial parks where there is significant focus on energy efficiency, residual heat utilization, industrial symbioses and renewable energy sources. Tofte Industrial Park is a site in Norway, where these aspects are highlighted through an “energy hub” concept study. In the study, the stakeholders want to find out how energy solutions may be combined to obtain a profitable renewable energy system with a high degree of self-sufficiency.  This problem is solved with a Python model where energy demands such as industrial activities, office buildings and electric vehicle charging are modeled to find the total energy demand profile of the site. Then, energy technology investment options such as different capacities of solar panels, small-scale wind turbines, hydropower, batteries and energy efficiency measures are defined along with their potential for energy production, storage or demand reduction, as well as costs. All combinations of investment options are tested in relation to the energy demand profile, and the net present value and self-sufficiency percentage is plotted in a diagram to determine the profitability, cost-effectiveness, and energy system services of each combination. Since there are uncertainties regarding how the site will develop, this process is done for four different development scenarios with differing industrial activities. The first scenario describes the site as it is today, while the other three include different core industries like a biofuel plant, a large-scale data center or a hydrogen plant. The results show that in a scenario with a fully developed industrial park, maximized hydropower production combined with a large area of solar panels brings optimal profitability of the system. If a higher self-sufficiency degree is desired, it is possible to maximize the area of solar panels. In the model, this measure reduces the profitability, but a sensitivity analysis shows that this increase might in fact be profitable with high future electricity prices. There is a landfill area connected to the site and covering this area with solar panels is the most profitable option in the baseline scenario. This means that this investment could be made immediately, while the other technologies should be in place when the industrial energy demand increases. The energy hub concept with the recommended proposal from this study helps Tofte Industrial Park follow the standards and definition for an eco-industrial park. However, efforts must be put into obtaining high ambition levels for energy solutions and industrial symbioses among the future tenants of the site.