Economic Valuation of Nipa Palm (Nypa fruticans Wurmb.) Sap as Bioethanol Material

Abstract

Nipa palm (Nypa fruticans Wurmb.) widely recognized as one of the biological resources with various aspect of utilization. Nipa palm sap can be processed into bioethanol. Bioethanol also has a quite high selling price, especially for the fulfilment of energy and for fossil fuels substitution. The main purpose of the study was to evaluate the economic value of nipa sap for further processed into bioethanol, in order to improve the income and job opportunity of coastal households. This research was conducted at Sungsang, South Sumatera with focusing on nipa palm sap further processing into bioethanol and its impact on increasing household income. This research was statistically testing the relationship between potential production of bioethanol, average revenue and labour recruitment. Based on the 2013 data, potential production of bioethanol was capable to contribute of nett income about IDR 507,940 to 3,503,280 ha-1 month-1 or IDR 6,095,274 to 42,039,360 ha-1 year-1. Therefore each hectare of nipa palm can generate labour recruitment up to 3.7 person ha-1. This assessment was expected to provide a better description of the importance of local biological resources utilization of the nipa palm, in order to improve community welfare and the efforts of biodiversity conservation on a local scale.