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Development of Biofuel Industry


Project Name : Development of Biofuel Industry
Sector : Industry/ Agroindustry
Location : Makariki, Central Mollucas Regency
Rationale :
| The decreasing of oil productions and world price of oil become more and more expensive, make people become more aware to looking for the new alternatif resources for energy. The use of biofuel as the future alternative energy become more popular nowdays.It because they’re enviromental friendly. Biofuel produce lower emission gas, and it made from the various kaind of plant. |
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The development of biofuel industry in Seram IEDZ supported with the large potency of the raw material for instance coconut, sagoo, cassava, sweet potatoes, sugar palm, castor oil plant, etc. Beside that there are still a large area that could be used to the further development of the raw material plantation.
The development of the biofuel industry has become an alternative choice to fulfill the increasing demand of fuel consumption. Giving a positive impact to environment especially in the effort to reduce glass house effect that cause global warming.
Project Objective :
- To use natural resources of the area.
- To develop industrial sector espesially biofuel industry as a friendly use energy.
- To Create job opportunity
Project Scope :
The project consist of the preparation phase includes administrative and institution arrangement, the construction of biofuel plant, production and distributions.
Expected Impact/ benefit :
- Improvement of the people income and welfare
- Security of suplay of the biofuel
- The fuel consumptions will be reduced.
Esimated Project Cost :
- Biodiesel (from coconut) with the capacity production of 3 ton/day : Rp. 3 Billion
- Bioetanol (sugar palm) with the capacity production of 7500 l/ day : Rp. 3 Billion
Financial Arrangement : Privat Sectors
Investment Scheme : BO – Built Operate
Critical Success factors : Security supply of raw material
Counterpart : Local Government, Management Board of Seram IEDZ dan Local Society
Status proyek : Open
Pre Feasibility : Available
Project Commitment :
Complementary Investment :
Expected Government Support : The regulation and incentives
Additional Remarks :
Biodisel made from coconut :
- IRR : 20 %
- NPV : 217.383.908
- Net B/C ratio : 1.08
- Pb. Period : 51 month
- Price without subtitution : Rp.7500/liter
Bietanol made from sugar palm
- IRR : 17 %
- NPV : 378.675.156
- Net B/C ratio : 1.35
- Pb. Period : 38 months
- Price without subtitution : Rp.9750/liter
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