Efficiency evaluation of product oil pipeline under transportation market

Objective The establishment of China Oil and Gas Pipeline Network Corporation marks a significant milestone in the structural reform of China's oil and gas industry. Consequently, oil and gas pipelines, now operating independently, have emerged as key players in the oil and gas logistics market, competing with railways, waterways, and highways. However, existing research has fallen short in concentrating on the efficiency evaluation of product oil pipelines. This shortfall has had a detrimental effect on both the enhancement of pipeline transportation competitiveness and the long-term construction planning of pipelines. Methods The study led to the development of an efficiency evaluation method for product oil pipelines under transportation market competition. This method was devised based on the engineering practices of pipelines, integrating operational requirements at refineries, oil storage facilities, and transportation channels. A resource allocation model was created for primary logistics schemes of product oils within a multi-transportation competitive environment, through a solving process, aiming to minimize the total transportation costs associated with primary logistics. Subsequently, the functions of pipelines within the entire product oil logistics system were evaluated in typical and extreme weather scenarios utilizing two key metrics: total transportation cost and the share of pipeline transportation. Results The above evaluation method was implemented on a product oil pipeline in China, and its operational data in 2023 were used for calculations, yielding the following results. In terms of cost efficiency, the pipeline realized a 0.1% reduction in total transportation costs for primary logistics. Regarding the transportation structure, the share of pipeline transportation for refineries along the route increased by 12.48%. Furthermore, in extreme weather conditions, this pipeline effectively mitigated supply disruptions caused by capacity shortages in other modes of transportation, ensuring a consistent energy supply. Notably, the proportion of pipeline transportation rose from 41.66% to 42.07%, corresponding to a 15% decrease in the transportation capacity of certain waterways. The monthly transportation volume of this pipeline surged by over 400%, elevating its share in the total pipeline transportation volume from 0.19% to 0.98%. Conclusion The proposed pipeline efficiency evaluation method effectively quantifies the contribution of pipelines in improving economic benefits and optimizing transportation structure, offering insights for initial planning, design, as well as daily operational and maintenance management of pipelines.