A Natural Gas Transmission Network Optimization Model - The Case Study of Iran Gas Transmission Networks

We consider the problem of designing a new natural gas transmission network and expanding an existing network while minimizing the total investment and operating costs. We develop a mixed-integer nonlinear optimization model to determine pipelines in the network, compressor stations with their capacity as a variable, and their instalation schedule in a multi-period planning horizon. The model further decides on the amount of the produced natural gas in the steady-state flow for each period in the network. The model is solvable using Baron solver in Gams. We conduct computational studies on various cases generated using realistic network structure and data based on the natural gas network in Iran. Our analysis provides insights into sensitivity of network configuration and operations within different periods in the planning horizon and cost parameters of natural gas networks. Result proved 30 percentage decrease in cost of gas network transmission.