Widodo Wahyu Purwanto

Natural gas as petroleum fuels substitution: Impact on economic performance in Indonesia

ABSTRACT The lack of natural gas infrastructure is the main hurdle in maximizing natural gas usage in Indonesia. This study analyzes the substitution of natural gas for petroleum fuels and its investment impacts on Indonesian economic performances using econometrics. Five econometric models have been proposed which are capable of describing economic behavior. The policy simulations show that fuel substitution has a significant impact on Indonesian economic performance, particularly related to reducing unemployment.

Significance of Acoustic and Hydrodynamic Cavitations in Enhancing Ozone Mass Transfer

Assessment of both acoustic and hydrodynamic cavitations for intensifying ozone mass transfer was conducted simultaneously. Four process schemes were arranged to evaluate the effect of application of each kind of cavitation as well as both of them, on the ozone mass transfer process. All processes were conducted at pH of 3 to avoid ozone natural self-decomposition initiated by hydroxide ions (OH−). The chemical and mechanical effects of cavitation were distinguished by using radical scavengers to suppress radical formation. The result showed that hydrodynamic and acoustic cavitations enhanced ozone mass transfer synergistically. The enhancement obtained from the acoustic cavitation was higher than that obtained from the hydrodynamic cavitation, and the chemical effects of cavitation were much significant than that of mechanical effects. The enhancement obtained due to chemical effects of cavitation was about twice the enhancement obtained due to mechanical effects when only one type of cavitation was combined with ozonation. Combination of both type of cavitation and ozonation gave the enhancement obtained due to chemical effect of 3.68 times that obtained due to mechanical effects.

Impact analysis of natural gas policy in Indonesia

ABSTRACT Becoming a net importer of fuel oil has encouraged the Government of Indonesia optimizing the utilization of natural gas energy production. Increasing natural gas domestic usage has raised the potential wide impact on the economy. This paper investigates the impact of natural gas policy regarding the energy balance and national road map of natural gas infrastructure for the year 2014–2030. Applying the dynamic computable general equilibrium model, four scenarios are constructed—business as usual, declining existing supply, increasing potential supply, and energy substitution into four alternative sectors. The economic cost of relying on existing exploration causes natural gas imports to increase and the economy to slow down. Developing natural gas explorations is therefore required. The energy substitution in the electricity sector shows significant results based on both economic and environment indicators. The impacts however are varied depending on the type of energy, the magnitude, and the sector that is intervened.

Financial analysis of integrated biodiesel industry in Indonesia

As the largest palm oil producer in the world, Indonesia has the opportunity to develop biodiesel from excess palm oil production. The government is pushing forward the production of biodiesel by inviting private sectors to develop the biodiesel industry. However, the unattractive biodiesel market price causing a not promising trend. One idea to upswing the downtrend is to establish an integrated biodiesel industry covering the whole production chains, from palm plantation, crude palm oil (CPO) factory to biodiesel factory. The idea is based on premise that from an integrated chain, the biodiesel producer can benefit from considerably lower CPO production cost. To evaluate this idea, we need to measure objectively the attractiveness of biodiesel as an investment, by developing a detailed bottom up financial model. Based on our model, development of an integrated biodiesel industry is still not financially feasible with the current diesel market price, shown by two major financial indicators: the internal rate of return and net present value. To achieve the national target, government will have to provide support for the industry by developing a strategic plan taking into account the important factors shown by the model: land productivity, extraction rate and the dangerous delay effects.