Economic Analysis of Biomass as a Replacement for Conventional Coal by Considering Externalities
Article Sidebar
Main Article Content
Abstract
The textile industries have begun to take proactive initiatives to deal with global warning issues. Several potential initiatives have been explored, however the financial implications for the industry and society it is still debatable. The present paper aims at evaluating economic analysis to replace coal to a more environmentally friendly energy source, i.e., biomass. A case study of textile company in West Java which aims to meet net zero fossil fuel by 2025 was taken as a studied case. The economic analysis was conducted using incremental analysis which is a proper technique to compare two or more mutually exclusive alternatives. Incremental analysis is a detail technique, properly used when two or more alternatives have insignificant differences, and the data available is cost. The externalities were included in the analysis, which is the main contribution of the paper. Data was collected from both on one year company demand and ministry of energy and mineral resources. The incremental analysis techniques employing present value and benefit-cost ratio resulted that, rice husk pellet is the potential alternative energy source to replace coal as energy source compared to sawdust, corncobs, and municipal waste as those four types are the only types that are intended for industrial activities.
Article Details
This work is licensed under a Creative Commons Attribution 4.0 International License.
This work is licensed under a Creative Commons Attribution 4.0 International License.
References
Arinaldo, D. & Adiatma, J.C. (2019). Dinamika Batu Bara Indonesia: Menuju Transsi Energi yang Adil. Institute for Essential Services Reform (IESR).
Awulu, J., Omale, P. & Ameh, J. (2018). Comparative study analysis of calorific values of selected agricultural wastes. Nigerian Journal of Technology (NIJOTECH), 37(4), 1141–1146.
Azmi, M., Nugroho, G., & Sarwono. (2014). Analisis Teknik dan Ekonomi Pemanfaatan Biomassa sebagai Pembangkit Energi Listrik di Surabaya. Tugas Akhir, Fakultas Teknolog Industri, Institut Teknologi Sepuluh Nopember, Surabaya.
Bayu, D. J. (2020). Di Mana Lumbung Padi Jawa Barat?. [Online]. Available: https://databoks.katadata.co.id/datapublish/2021/08/10/di-mana-lumbung-padi-jawa-barat.
Conca, J., (2015). Making Climate Change Fashionable - The Garment Industry Takes on Global Warming. [Online]. Available: https://www.forbes.com/sites/jamesconca/2015/12/03/making-climate-change-fashionable-the-garment-industry-takes-on-global-warming/?sh=6a7d8cee79e4.
Damanik, C. (2017). “Setiap Hari, Ada 1.500 Ton Sampah Dibuang di Sungai Citarum,". [Online]. Available: https://regional.kompas.com/read/2017/06/06/10000031/setiap.hari.ada.1.500.ton.sampah.dibuang.di.sungai.citarum.
Ditjen EBTKE (2021). Potensi Biomassa di Jawa Barat.
Fiorentino, G. & Ripa, M. (2016). Chemicals from biomass: technological versus environmental feasibility. A review. Biofuels Bioprducts and Biorefining, 11(1), 195-214.
Fitriani, N. I. (2017). Pemetaan Potensi Biomassa di Jawa Barat dan Model Pemberdayaannya. Universitas Padjajaran, Bandung.
Kementerian Keuangan Republik Indonesia. (2021). Pajak Karbon di Indonesia: Upaya Mitigasi Perubahan Iklim dan Pertumbuhan Ekonomi Berkelanjutan.
Kraiphanont, A., Nunes, B., & Bennet, D. (2016). The Main Criteria of Biomass Selection for Energy Generation in Brazil. In 25th International Association for Management of Technology Conference Proceedings, Orlando, Florida.
Mutiah, D. (2020). Mengenal Teknologi Peuyeumisasi, Metode Ubah Sampah Jadi Batu Bara Nabati. Liputan 6, 2020.
Nazaruddin, Alkindi, & Surdia, A. (2014). Analisa Kelayakan Pembangkit Listrik Tenaga Biomassa Sawit (PLTBS) PT. Perkebunan Nusantara I Aceh. Jurnal Ilmiah Jurutera, 1(2), 16-23.
Nishiguchi, S. & Tabata, T. (2016). Assessment of social, economic, and environmental aspects of woody biomass energy utilization: Direct burning and wood pellets. Renewable and Sustainable Energy Reviews, 57, 1279-1286.
Nurhilal, M. & Tarigan, R. A. P. (2017). Karakteristik Briket Arang Sekam Padi dan Arang Kulit Bawang Putih. Media Teknika Jurnal Teknologi, 12(2).
Paletto, A., Bernardi, S., Pieratti, E., Teston, F., and Romagnoli, M. (2019). Assessment of environmental impact of biomass power plants to increase the social acceptance of renewable energy technologies. Heliyon, 5(7), e02070.
Romallosa, A. & Kraft, E. (2017). Feasibility of Biomass Bruquette Production from Municipal Waste Streams by Integrating the Informal Sector in the Philippines. Resources, 6(12), 1-19.
Roni, M. S., Chowdhury, S., Mamun, S., Marufuzzaman, M., Lein, W. & Johnson, S. (2017). Biomass co-firing technology with policies, challenges, and opportunities: A global review. Renewable and Sustainable Energy Reviews, 78, 1089-1101.
Shwartz, M. (2019). Q&A: Stanford expert explains why we continue burning coal for energy, [Online]. Available: https://energy.stanford.edu/news/qa-stanford-expert-explains-why-we-continue-burning-coal-energy.
Shyamalee, D., Amarasinghe, A. & Senanayaka, N. (2015). Evaluation of different binding materials in forming biomass briquettes with saw dust. International Journal of Scientific and Research Publications, 5(3), 1-8.
Solihat, K. (2021). Panen Jagung Jawa Barat Masih Memperoleh Produksi Besar Indonesia Pada tahun 2021. [Online]. Available: https://deskjabar.pikiran-rakyat.com/jabar/pr-1132699181/panen-jagung-jawa-barat-masih-memperoleh-produksi-besar-indonesia-pada-tahun-2021#:~:text=Disebutkan%2C%20produksi%20jagung%20Jawa%20Barat,2020%20sebesar%201.471.263%20ton.
Thuesen, G. J. & Fabrycky, W. J. (2001). Engineering Economy (Ninth Edition), Rio de Janeiro: Prentice Hall.
Vassilev, S. V., Vassileva, C. G., & Vassilev, V. S. (2015). Advantages and disadvantages of composition and properties of biomass 5 in comparison with coal: An overview. Fuel, 158, 330-350.
Weldegiorgis, F. & Franks, D. (2013). Social dimensions of energy supply alternatives in steelmaking: comparison of biomass and coal production scenarios in Australia. Journal of Cleaner Production, 84, 281-288.
Wichtmann, W. & Wichmann, S. (2011). Environmental, Social and Economic Aspects of a Sustainable Biomass Production. Journal of Sustainable Energy & Environmen Special Issuet, 77-81.
Zhang, X., Kondragunta, Ram, Schmidt, C. C. & Huang, W. (2012). Near Real Time Global Biomass Burning Emissions Product from Geostationary Satellite Constellation. Journal of Geophysical Research Atmospheres, 117, D14201.