A Multi-Criteria Cost-Benefit Analysis to optimize the oil supply networks

  • Muhammad Bilal, 
  • Yousaf Ali,
  • Muhammad Sabir,
  • Antonella Petrillo ,
  • Fabio De Felice
  • a,b Department of Management Science & Humanities Ghulam Ishaq Khan Institute of Engineering Sciences & Technology, Topi, Swabi, KPK, Pakistan85748 Garching bei München, Germany
  • NUST Business School National University of Science and Technology, Islamabad Pakistan
  • Department of Engineering, University of Naples “Parthenope”, Isola C4, Centro Direzionale Napoli, Italy
  • Department of Civil and Mechanical Engineering, University of Cassino and Southern Lazio, via G. Di Basio, 43, Cassino, Italy
Cite as
Bilal M., Ali Y., Sabir M., Petrillo A., De Felice F. (2021). A Multi-Criteria Cost-Benefit Analysis to optimize the oil supply networks. Proceedings of the 20th International Conference on Modeling & Applied Simulation (MAS 2021), pp. 91-103. DOI: https://doi.org/10.46354/i3m.2021.mas.012


The fossil fuel is one of the most important sources of energy. However, different modes of transportation are used to transport oil from its extractions to the consumption locations. The demand is on the rise with the increase in the global population and energy demand. The study aims to analyze the existing oil transportation in Pakistan and to optimize the oil supply networks considering critical factors including costs, environmental, time, safety etc. The major contribution of the study is the use of Multi-Criteria Decision Making (MCDM) approach, based on FAHP (Fuzzy Analytical Hierarchical Process) and PROMETHEE (Preference Ranking Organization Method for Enrichment of Evaluations). Furthermore, the study also performs the qualitative cost-benefit analysis for the Machike to Tarru Jabba oil pipeline project (MTOPP) and its risk analysis. The findings suggest that the pipeline mode of transportation is the best mode of transportation for oil supply in Pakistan, whereas existing road transportation is the worst. Furthermore, the new proposed MTOPP project is found to be viable with considerable risks form terrorist attacks. The study has usefulness for the oil industry practitioner dealing with oil supply planning within a country. 


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