Abstract
Palm Oil Mill Effluent (POME) is a byproduct of processing fresh palm fruit bunches into crude palm oil (CPO) which has negative externalities in the form of gas containing methane, carbon dioxide and other greenhouse gases (GHG) which is very dangerous for sustainability environment. The use of pome as feedstocks for biogas power plants (PLTBg) changes the negative externalities of pome into positive externalities such as increased electrification in the area around the palm oil mill (PKS) and also good for environmental sustainability. PLTBg Suka Damai with a capacity of 2.4 Mw is planned to reach the Commercial Operating Date (COD) in 2019, the financial calculation has a cost-benefit ratio of 1.19, percentage of Internal Rate of Return (IRR) of 12.84%, percentage of weighted cost of capital (WACC) 10% and a Net Present Value (NPV) of Rp 21,275,609,209.00. Using the cost-benefit analysis method, the authors calculate the positive externalities generated by PLTBg Suka Damai by comparing the value of benefits into three (3) alternative scenarios. The scenario I add the social cost of carbon (SCOC) as additional benefits; scenario II adds carbon credit income parameters from the REDD+ scheme; scenario III only utilizes the benefits of electricity sales and the electrification without adding additional benefits. Comprehending all the results, the first scenario with SCOC is the most optimize scenario for it provides far greater benefits to the community, far greater than the financial revenue received by the PLTBg itself.
Highlights
Tanah Bumbu Regency is one of the 13 Regencies in South Kalimantan Province which is located exactly at the southeastern tip of Kalimantan Island and has its capital in Batu Licin District
Oil palm plantations located in Suka Damai Village, Mantewe District occupy an area of 16,780 hectares and produced 218,821 tons of palm oil in 2019
Without additional benefit variables such as Social Cost of Carbon (SCOC) or Reducing Emissions from Deforestation and Forest Degradation (REDD)+, the present value of benefits is Rp 199,845,016,487.00, Internal Rate of Return (IRR) 22%, cost benefit ratio 1,832. These results indicate that the scenario is quite feasible, but with the lowest Net Present Value (NPV) results compared to scenarios one and two
Summary
Tanah Bumbu Regency is one of the 13 (thirteen) Regencies in South Kalimantan Province which is located exactly at the southeastern tip of Kalimantan Island and has its capital in Batu Licin District. The authors conducted a study on a cost-benefit analysis of the use of POME as feedstocks from biogas type power plants in Suka Damai Village which was planned to enter the Commercial Operating Date (COD) phase in 2019. In the variable power generated per year, assuming a full year of operation with a percentage value of a capacity factor of 92%, the amount of power that can be generated by Suka Damai PLTBg is 19,422,000 kWh/year with an installed capacity of 2.4 Mw. Under the PPA acknowledged by both companies, the BPP rate used is 1,365 rupiah/kWh. for the SCOC and REDD variables, sequentially US $ 40.00 per tonne carbon/year (Howard, & Sylvan, 2015) and US$ 5.00 per tonne carbon/year (Sudaryanti, Fauzi, Dharmawan, & Putri, 2017).
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