Abstract

Since the kerosene is no longer produced in Indonesia and the price of LPG is quite expensive, people in some villages of Majalengka Regency are using wood as fuel, both for household and business activities. Whereas, as an agricultural area, there are abundant of agricultural wastes in this area which are not yet utilized. Some studies showed that the agricultural wastes can serve as an alternative renewable raw material for the production of energy, either used directly as solid fuel for cooking, or converted into charcoal briquettes. Therefore, it is necessary to consider establishing small scale biomass briquette industry in this regency, so that the abundant waste can be utilized and the energy needs of the community can be fulfilled without damaging the environment. The issue is whether the establishment of this briquette industry will be profitable for the local community? This problem is discussed in this research using several financial indicators.

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