Title
Preventing regional social and environmental conflicts during oil pipeline construction projects
Abstract
The problem of constructing field pipelines from the oilfield to the main pipeline or an oil loading terminal is considered. Cost estimates for routes of field pipelines take into account the pipeline construction and operation costs, environmental accident pollution risks, compensations to local residents, and costs of compensatory projects to accommodate local interests. This helps to ensure that conflicts are avoided in the process of economic development of northern territories. A specific feature in evaluating the total costs is the use of fuzzy numbers. The authors' adaptation of the Shimbel-Otterman method is substantiated for choosing an optimum field pipeline route, whose adaptation involves the application of fuzzy cost estimates for individual segment options of the pipeline route. The proposed approach to the analysis of the resulting solution relies on the use of a confidence level function, which helps the decision-maker to identify the most viable field pipeline route option. A detailed algorithm for solving the problem is laid out, with a numerical example to prove the operational quality of the proposed method.
Keywords
pollution damage, environment, conflict, compensations to population, field pipeline, route, fuzzy estimate, confidence level, minimization of total costs
JEL classifications
Q01 , Q32
URI
http://jssidoi.org/jesi/article/403
DOI
Pages
773-785
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