THE OPTIMAL NUMBER AND SIZE OF FERTILIZER PLANTS UNDER HAZARDOUS MATERIALS REGULATIONS

Public concern about hazardous materials, such as agricultural fertilizers, has steadily increased. Thus, North Dakota created Recommended Management Practices for The Primary and Secondary Containment of Fertilizers (RMP). This study attempted to determine how compliance with RMP guidelines affects logistic, operating, and investment costs of fertilizer plants and evaluate the effect on plant size and industry market structure. A cost-minimizing, mixed-integer linear programming model was employed in four different scenarios to analyze the effects of possible fertilizer legislation. Results show forced compliance with the RMP guidelines will (1) start a shake-out of excess capacity, (2) generate cost savings of 8% for the industry, and (3) discourage storage capacity expansion.

Language

  • English

Media Info

  • Features: Appendices; References; Tables;
  • Pagination: 154 p.

Subject/Index Terms

Filing Info

  • Accession Number: 00728812
  • Record Type: Publication
  • Files: TRIS
  • Created Date: Nov 19 1996 12:00AM