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Pengembangan Model Multi Tingkatan Industri Biodiesel Berbahan
Minyak Kelapa Sawit secara Berkelanjutan di Indonesia
dengan Pendekatan Sistem Dinamis




                                                           Akhmad Hidayatno
                                                             NPM 0806400882
                                                    Program Studi Teknik Kimia
Agenda of the Presentations


 •   Research Overviews and Methodology

 •   Model Conceptualization and Model Formulation

 •   Model Verification and Validation

 •   Scenarios Development and Analysis




                                                     2
Due to the pressure of increase oil prices starting in 2006, the government initiated
   energy diversification program that includes biodiesel

                                                                                                                                                                                            2025
                                                                                                                        Penciptaan                                                      10.22 mil kL
                                                                                                                        Kepastian     Efek Nilai Tambah Industri
                               Regulasi Diversifikasi BBN                                                                                                                                          20%
                                                                                                                           Pasar       Penyerapan Tenaga Kerja
                                     UU 30/2007,
                                                                                                                          (Untuk
                                    Inpres 1/2006,
                                                                                                                         BioDiesel
                                                                                                                                       Peningkatan Nilai Tambah                         2015
                                                                                                                                            Penggerak Ekonomi
                                Permen ESDM 32/2008
                                                                                                                        2025: 20%)                     Domestik
                                                                                                                                                                                     4.52 mil kL
                                          Menko Perekonomian       Menteri Perdagangan         International Standard
                                                                                                                                                                                                 15%
                                                                                               Bodies (RSPO)
                                          Menteri Perindustrian    Menteri Keuangan            LSM International


                                                                             Export and
                                                                             International Market
                                                                                                                                                                                    2010
      Cultivation         CPO/Oil
                          Production
                                                  BioDiesel
                                                  Production            Blending                   Distribution
                                                                                                   Local Market

                                                                                                                                                             Subsidi Langsung
                                                                                                                                                                                 2.41 mil kL
 Menko Perekonomian

 Menteri Kehutanan
                       Menko Perekonomian

                       Menteri Perindustrian
                                                Menko Perekonomian

                                                Menteri Perindustrian
                                                                        Menko Perekonomian

                                                                        Menteri ESDM
                                                                                                  Menko Perekonomian

                                                                                                  Menteri ESDM
                                                                                                                                                                Pembelian                       5%
 Menteri Keuangan      Menteri Keuangan         Menteri Keuangan        Menteri Keuangan          Menteri Keuangan

 Menteri Negara
 Lingkungan Hidup
                       Menteri Negara Riset
                       dan Teknologi
                                                Menteri Negara Riset
                                                dan Teknologi
                                                                        Menteri Negara Riset
                                                                        dan Teknologi
                                                                                                  Menteri Negara
                                                                                                  Lingkungan Hidup                                              Biodiesel
 Meneg BUMN

 Meneg Koperasi &
 UKM
                       Meneg BUMN

                       Meneg Koperasi &
                       UKM
                                                Meneg BUMN

                                                Meneg Koperasi &
                                                UKM
                                                                        PERTAMINA
                                                                                                  Meneg BUMN

                                                                                                  PERTAMINA                                                     Rp 2000,-
 Menteri Pertanian                              Menteri Perhubungan                               Menteri Perhubungan

 Mendagri              Mendagri

 Gubernur dan Bupati   Gubernur dan Bupati




  2006                                                                           2007                                            2008                         2009            2010 - now
Diversification                                                            Investment                                                Biodiesel                     Reality
Started                                                                    Attractiveness                                            Producers                     kicks in    ???
                                                                                                                                     Growth
                                                                                                                               Harga Minyak Dunia Meroket,
                                                                                                                                    Harga CPO Anjlok

                                                                                                                1.8 juta kL                                                           50%
                                                                                                                                             14                                                 1
What are the challenges and impacts of biodiesel industry
                    development in Indonesia?



What should the government do to        What is the sustainability contribution

support the emergence of mature              and impact of a mature Biodiesel

 biodiesel industry and market?             Industry in Indonesia at the national
                                                           level?


                  how?                                         what?

          Micro Model of           impact              Macro Model of
            Biodiesel                                     National
         Production Chain                               Sustainable
            Enterprise                                  Development

                                                                                    4
.. early hypothesis can be drawn into these 2 reference modes showing 2
possible outcomes of biodiesel industry growth …


                                                                  Produksi Biodiesel
                                         Modus Referensi:
                                                                  Grafik ini menunjukkan kekhawatiran pemerintah
                                         Perusahaan               selaku pemilik permasalahan terhadap kemungkinan
                                         Biodiesel                adanya gap antara produksi biodiesel ideal dengan
                                         Harapan                  produksi sesungguhnya.
                                         Modus Referensi:
                                         Perusahaan
                                         Biodiesel
                                         Dihindari


2005   2010   2015    2020     2025




                                            Modus Referensi:
                                            Perusahaan
                                                                  Jumlah Produsen Biodiesel
                                            Biodiesel Modus       Grafik ini menunjukkan kekhawatiran pemerintah
                                            Referensi:            selaku pemilik permasalahan terhadap kemungkinan
                                            Perusahaan
                                            Biodiesel Harapan     tidak tertariknya industri swasta terhadap produksi
                                            Modus Referensi:
                                                                  biodiesel
                                            Perusahaan
                                            Biodiesel Modus
                                            Referensi:
                                            Perusahaan
                                            Biodiesel Dihindari
2005   2010    2015     2020      2025


                                                                                                                        5
Alternatif Kebijakan                                                                                                                                       ESDM
                   Facilitating       Quantity          Matching               Price             Government            Freeing             Allocate
                    Markets          Regulations         Grants             Regulations          Corporations          Markets             Property                                                                           Meneg BUMN
                                                                                                                      (Legalize)            Rights
                                                     Tax Credits           Tariffs          Subsidies
                                                                                                                                                                                                                              Meneg UKM


                                                                                                                                                                                                                                  Kehutanan
                                                                    Interfacing Model

                                                                                                                                                                                                                                  Pertanian
                                                                                                SAM (Social Accounting Matrix)

                                                                                                                                                                                                                              Perdagangan
                       Reference Energy
 Masukan dan                System
                                                                                  Konsumsi                                                                             Kinerja Keluaran                                           Meneg LH
Faktor Eksternal
                                                         Produksi
                                                                                                                                                                    Terpenuhinya Target
 Harga Minyak                                                                                                                                                                                                                 Perindustrian
                                                                                                                                                                     Nasional Produksi
    Dunia                                                                                                                                                             Biodiesel secara
                                                                                                                                                                       Berkelanjutan                                              Menristek
Harga Ekspor                                                                         Pendapatan
                         Kebutuhan Total            Loan/Debt                                                                                                                                                                     Ekonomi/
Minyak Kelapa
    Sawit                Energi per Sektor                                                                                                                                                                                        Keuangan




                                                                                                                                                      Model Makro
                        (Transportasi PSO,                            Investasi
                         Non-Psi, Industri)                                                                          Pendidikan                                     Kinerja Berkelanjutan            Problem Owner:                Mendagri
  Total Luas                                                                                                                                                        pada Mikro dan Makro               Pemerintah                 (Gubernur/
 Lahan Lahan                                        Teknologi                                                                                                                                                                       Bupati)
                          Energy Balance                                                                                                                              Indikator Ekonomi
                                                                                                                    Tenaga Kerja
  Kurs Mata                                                                                                                                                                                          Tujuan Utama:
    Uang                                                Daya Dukung                                                                                                                             Pemenuhan Target Jangka
                                                         Lingkungan                                                                                                    Indikator Sosial           Panjang Pemanfaatan
                          Pasokan Energi                                                                              Kesehatan
                                                         (Tanah, Air)                                                                                                                              Bahan Bakar Nabati
                         Tidak Terbarukan
                            (Gas, Coal,                                                                                                                                                                 Nasional
                                                                                                                                                                    Indikator Lingkungan

                          Pasokan Energi                Sumber Daya                                                  Kemiskinan
                           Keterbarukan                  Lingkungan                          Usaha
                          (Other Biofuels,                                                 Konservasi
                            Geothermal,
                              Hydro)                 Emisi/Polusi (GHG,                                                Populasi
                                                      Toxic Susbtance)


                                                                                                                                                                                                        Stakeholder
                                                                                                                                                                                             (Pengusaha Biodiesel, PERTAMINA,
                                                                                                                                                                                            Pabrik dan Perkebunan Kelapa Sawit,
                        Pasokan Biodiesel                          Kontribusi Lingkungan                         Kontribusi Sosial                                                             Konsumen Biosolar, LSM, RSPO)
                                                                                                                                                      Model Mikro



                                                                      Industri BioDiesel

                       Perkebunan Kelapa Sawit                     Produksi MKS/CPO                             Produksi BioDiesel

                        En                                       En                                         En
                                   Ec         Soc                            Ec           Soc                           Ec           Soc
                       LCA                                      LCA                                        LCA

                                                                                                                                                                                                                                           6
Research Methodology is based on system dynamics methodology
      Formulasi Riset
      Tujuan, Batasan, Journal Review,
      Pengumpulan Data




      Pengembangan Konseptual
      Model Mikro
      Tujuan, Batasan, Asumsi, Modus Referensi,
      Hipotesa Dinamis, dan Causal Loop
      Diagram Utama Model Mikro
                                                           Model Finansial
                                                           Pengembangan Model finansial
                                                           dengan aplikasi spreadsheet


      Pengembangan Model Mikro                             Life Cycle Analysis
      Pengumpulan dan Pengolahan Data, Stock               Perhitungan LCA berdasarkan
                                                           peta proses dan model
      and Flow Model Mikro, Verifikasi dan
                                                           finansial
                                                                                          Pengembangan Konseptual
      Validasi
                                                                                          Model Makro
                                                                                          Tujuan, Batasan, Asumsi, Modus Referensi,
                                                                                          Hipotesa Dinamis, dan Causal Loop
                                                                                          Diagram Utama Model Makro



                            Pengembangan Skenario                                         Pengembangan Model Makro
                            Analisa Alternatif Kebijakan, Pengolahan                      Pengumpulan dan Pengolahan Data, Stock
                            Data Input                                                    and Flow Model Makro, Verifikasi dan
                                                                                          Validasi


                            Simulasi Skenario & Analisa
                            Skenario dijalankan didalam simulasi dan di
                            analisa



                               Analisa Perilaku Model dan
                                        Skenario                                                                                      7
Agenda of the Presentations


 •   Research Overviews and Methodology

 •   Model Conceptualization and Model Formulation

 •   Model Verification and Validation

 •   Scenarios Development and Analysis




                                                     8
The research acknowledges that developing this model is a daunting task
with so many information still unknown…

Bioenergy Modeling is more Complex
   Ross (2000) Highlights 3 Complexities of Bioenergy Modeling
   (1) Local conditions of sources would limit the generic model,
   (2) still few documented large scale bioenergy systems,
   (3) Biofuel are usually a by-products of main activities which would increase
       dependencies

Ability to map the complex systemic relationships of 3 aspects of sustainability
   The complex relationships of variables within the systems can be traced and
   evaluated
   Preparation for still so many unknown variables

Long Time Period of Analysis
   The target for biofuel development is 20 years.
   Short-term or medium-term model that dominates economic models is insufficient




                                                                                    9
We develop the micro model based on process map of biodiesel production chain,
supported by financial model, LCA approach, and sustainability framework in
corporations …


         Peta Proses     Penetapan dan Proyeksi Data
          Produksi       Exogenous yang Berpengaruh
                        pada Seluruh Komponen Model




         Sub-Model     Financial           Sub-Model          Verifikasi         Analisa
         Produksi      Model               Sustainability     dan Validasi       Simulasi
                                           Indicators



     Variable                  Variable
     Finansial               Environment
                                (LCA)


                            Production           Perhitungan Mendapatkan
                               Data                 Rumus LCA dari data
Kalkulasi Investasi,                                     Sekunder
 Pendanaan dan
Biaya Detail dalam                                                    Variable
   Spreadsheet                     Labor                               Social


                                               Konsep
                                            Sustainability
                                                                                            10
.. the micro model also tries to accommodate different ownership structure types of
the production chain ..




    Structure 1 (Code 1)                               PALM      CPO FACTORY   CPO MARKET
                                                    PLANTATION
    Total Differentiation. No Single
    Ownership of all Chains
                                                                   BIODIESEL     BIODIESEL
                                                                   FACTORY        MARKET



    Structure 2 (Code 2)
                                                       PALM      CPO FACTORY   CPO MARKET
                                                    PLANTATION
    Plantation and CPO Factory are single
    owner, however Biodiesel Factory is
    independent.
                                                                  BIODIESEL     BIODIESEL
    This is the typical structure of the industry                 FACTORY        MARKET


    Structure 3 (Code 3)
                                                       PALM
    Conglomeration, total vertical                  PLANTATION   CPO FACTORY
    integration. All Chain are owned by
    single company dedicated to
    BioDiesel MArket
                                                                  BIODIESEL     BIODIESEL
                                                                  FACTORY        MARKET


                                                                                             11
.. And we come up with this conclusions as a dynamic hypothesis

                                                                                                                                                                                Export Tariffs



                                                                                                                                Biodiesel
                                                                                                                               Production
                                         Extraction                                      CPO Domestic                                                           No of Biodiesel
                                           Rate                   CPO                       Supply                                                               Companies
                                                                                                                                              Biodiesel
                                                               Production
                                                                                                                                             Production                                                  “Green Gold”
                                                                Volume                                                                                                                                  Exports Income
                                                                                                                          R2 – Biodiesel      Capacity
                                                                                                                           Investment
                                                                                                                                                            Biodiesel                    National
                                                                        CPO Production                                                                     Investment B1 – Biodiesel
                                                                          Capacity                                                                                                       Biodiesel
                 Cost of                                                                                                                                  Attractiveness Competition      Supply
                                                                                                        World           Biodiesel
              Environmental                                                                            CPO Price
            Protection (RSPO)                                                                                           Company
                                                                                                                       Profitability
                                                                                                                                                                        Supply and
                                                            CPO Producers
                                                                                                                                                                       Demand Gap
                              Fresh Fruit Bunch              Profitability            R1 – CPO
                                                                                   Investment Drive
                              (FFB) Production
                                                                                                                                           Biodiesel Price                                       Biodiesel
Plantation                                                                                            Domestic                                Subsidy                                            Blending
   Area                                                                                               CPO Price                                                  Domestic                        Mandate
                                                                                                                            CPO Price for                       Diesel Price
                                 Land Clearing        Time to CO2                                                            Integrated
                                     Rate               Recovery                                                             Ownership
                                                                                                                              Structure                   World Oil               National Biodiesel
                                                                            Slash and                                                                      Price                       Demand
                                                                              Burn
                                                        Environmental
                                                        Impacts (LCA)                                 Environment
                  Land                                                                                                                                    Domestic
                                     Number of                               Not Slash and            Certification
               Productivity                                                                                                                               Subsidy                      National Diesel
                                      Workers                                    Burn                                                                                                   Fuel Demand
R3 – Land
Expansion                                                                                                                                      Domestic CPO
                                Unproductive                                                                          R2 – Biodiesel
        Forest                                                                                                        Effects on CPO             Demand
        Land                    Critical Land                                CPO Producers’                                Price
                                                    Workers                  CSR Allocation
                                                  Productivity                                                                                                                 Domestic GDP
                      Peat Land




                                                                                                                                                                                                                     12
.. and developing the stock and flow model, this is the bird view of the micro
model …

   Physical Flow – Pulled by Demand




                           Financial Calculation       Information Extraction and
                                                                 Flow



                                                                                    13
.. which can be simplified …


                                          •     CO2                       •           Land Opening
    Environmental Impact                  •     Life Cycle Analysis


                                              Material Flow




                                                                                                                 National Petrol Diesel Demand
            Plantation                           CPO Factory                           Biodiesel Factory
     •     Land Opening                   •     Factory Activity                  •     Factory Activity
     •     Plantation Activity            •     Palm Oil Production               •     Biodiesel Production
     •     Palm Oil Harvesting            •     Palm Kernel Oil Prod              •     Gliserin Production




            Plantation                           CPO Factory                           Biodiesel Factory
     •     Investment &Loan           •       Investment and Loan             •       Investment & Loan
     •     Cash flow                  •       Cash flow & Profitability       •       Cash flow & Nat. Demand
     •     FFB Price                  •       CPO & PKO Price                 •       Biodiesel & Petrol Price

                                 Information and Financial Flow

                                      •       Employment                  •       Rural Development
         Social Impact                •       RSPO                        •       Nucleus Development



                                                                                                                                                 14
After developing the mikro model the research started to work on the macro
model ..


     What are the challenges and impacts of biodiesel industry
     development in Indonesia?
                                         What kind of integrated policy the
                                         government should do to support
                                         the emergence of mature biodiesel
  The models aims to
                                               industry and market?
  • better understanding of the
  structure of relationships between
  biodiesel industry and
  sustainability in the national level        What is the sustainability
  • Shows the behavior of key            contribution and impact of a mature
  sustainable indicators with the         Biodiesel Industry in Indonesia at
  production of biodiesel                        the national level?
                                                                               15
.. it will link through a translator sub-module with focus on mikro model of
sustainability indicators and makro model energy demand outputs which translates
to biodiesel demands …


                                                                  social output

                                                        model     environmental
                                                        makro         output
                                                                                  sustainability
                                           input         (T21                     impact
                                                        Based)
                                                                    economy
                                                                     output
            Agregasi/dis-agregasi linear
            dengan mempertimbangkan
                                   delay
                                                                   energy
                                                                 demand sub-
                                                                    model




                         environmental
                             output

  input      model
             mikro       social output
                                           sustainability
                           financial       indicators
                             output



                                                                                            16
… and we found T21 Starting Framework Model that based on sustainability
  interactions of developing nations …



                                        Tenaga Kerja Produktif , Konsumsi RT
                                                                                               Sosial &
          Economic                                                                             Human
           Capital                                                                             Capital
         Infrastruktur, Bangunan,                                                            Kesehatan, keahlian,
          Alat-alat Produksi, dsb                                                               pengetahuan,
                                                                                             semangat komunitas
                                             Pendapatan, Kesempatan Kerja



                                Emisi Polusi, Sampah,                     Efek Kesehatan,
                                investasi konservasi                        Kualitas hidup



sumber daya                                          Modal
ekonomi,
menyerap/                                         Lingkungan
melepaskan
polutan                                            Flora dan fauna,
                                                 sumber daya alam, air,                                 kesadaran
                                                        udara                                           konservasi
                                                                                                        lingkungan




                                                                                                                     17
… it is transparent and robust, so it can be expanded to accommodate the need for
analysis of other areas that affects sustainable development…




                                                                            REGIONAL
    ENERGY                                                                  DEVELOP
                                                                              MENT
      T21
     Energy                                                                  T21 Papua
      USA




     T21 has been used in many countries and for different focus analysis of sustainability
       framework, there are T21 China, Lolland, North America, USA, Jamaica, Ghana,
                         Malawi, Mali, Mozambique, Papua, Guyana                              18
.. we start to investigate 3 model variations of T21 models to seek
understanding of the structure involved …


                                                  Basic Structure
                                                  (Starting Framework)
                               T21 Starting
                               Framework          Focuses on MDGs Numbers
                                                  Showcase of SD approach:
                                                  behavior not projections




                 T21 Energy
                                               T21 Papua
                    USA
 Energy Supply Demand Modules                 Analysis Mining Infrastructure
   Focuses on US Energy Policy                Impact to social and environment
                                              Regional Model of Papua

                                                                                 19
.. and we decided to use T21 as the base model, why? ..

Build on the T21 Strength
   Ability to map and draw the complex systemic relationships of 3 aspects of
   sustainability, Transparency, Fitness of Use (Aggregation Level and Time Period of
   Analysis), Tools for increasing understanding

The only models that started from sustainability development perspectives
   Other models were begun as economy-energy models than expanding to cover
   environment and social aspects
Compatibility with the micro model development
   Biodiesel industry sub model has been developed

Indonesian sub-models are already exist
   T21 Papua focuses on the development of Papua

Opening the door of future researches on sustainability
   The basic model of BSM can be used for other purpose of analysis




                                                                                        20
… we re-engineered the model based on this logic …


       T21 Starting                                  2008 Data
                             T21 Papua               Updates &
       Framework             Structure               Availability



       T21 Energy                                    Data
       USA Structure                                 Processing



                              Biodiesel
        Tujuan Model          Sustainability
                              Model (BSM)




        Biodiesel             Aggregating
        Micro Model           Engine



                                                                    21
… we updates the data using these data sources …

                                                    Ekonomi   Sosial   Lingkungan   Energi
World Bank: World Development Index                   X         X          X
Report and Database 2009
Ringkasan Laporan APBN 2005-2010                      X
International Monetary Fund Report and Economic       X
Outlook 2009
Sistem Neraca Sosial Ekonomi Indonesia 2005           X         X

Statistical Database Bank Indonesia                   X
Food and Agriculture Organizations (FAO)              X                    X
Statistics
International Labor Organization Report                         X
Organization For Economic Co-Operation And                      X
Development (OECD) Report
FAO reports on Forestry and Water Utilization                              X
Energy Handbook – Kementerian ESDM 2005-                                              X
2010
Energy Information Administration (EIA)                                               X
International Energy Outlook (IEO)
Navigating the numbers , Greenhouse Gas Data                               x
and International Climate Policy – World Resource
Institute (WRI)
                                                                                             22
.. these are the sub-models dan modules …

   Ekonomi         Sosial        Lingkungan                      Energi

      Produksi       populasi      perubahan     Permintaan energi        jumlah produksi
     Pertanian                          iklim        rumah tangga               biodiesel

      Produksi       teknologi     efek rumah    Permintaan energi         jumlah tenaga
       Industri                  kaca & polusi             Industri                 kerja

 Produksi Jasa     pendidikan    cadangan air    Permintaan energi                jumlah
                                                             Jasa            penggunaan
                                                                                   lahan
      Investasi   tenaga kerja     kehutanan     permintaan energi           pendapatan
                                                       transportasi             nominal

  Pendapatan        distribusi                   Eksplorasi Minyak                 jumlah
  Pemerintah      pendapatan                                 Bumi         kontribusi pajak

  Pengeluaran           rumah                        Biaya Minyak
   Pemerintah          tangga                               Bumi

      Neraca         harapan                       Total Kebutuhan
   Pemerintah          hidup                                 energi

 Perdagangan
 Internasional

  Harga Relatif
                                                                                         23
.. and these are the dynamic relationships …
                                   Economy                                                                             Social




                                                                                            education
                                Government                  Government
                                 Revenue                    Expenditure
                                                                                                                               Life
           Household                                                                                                        expectancy
          Consumption
                                                        R1Public                                           health
                                                       Economic
                                                      Growth Loop
                                                                                                                                    population
                                      international
                                          trade                                        R4 productivity
                                                                                            loop
          Household
           Income                                                                                employment



                                                                                                                    Environmental
     Household
      Savings                                                                       Climate Impact
                                    3 sectors                       R3 technology
                                                                     growth loop                                     GHG & Carbon
                   R2 Private      production                                                                          Footprint
                 Economy Loop
                                                                                                                                               Forest
        Investment                                                                             Carbon Cycle
                                                                                                                                     Water




                                    Technology                                                  Energy Demand
                                                                                                                                           R5 biodiesel
                                                                                                    residential                          demand growth
                                                                                                                                               loop
                                    technology
                                                                                                         services
                                                                                                                                     biodiesel
                                                                                                     industrial
                                                                                                                                     industry
                                                                                                transportation


                                                                                                                                                          24
.. this is the bird view of the BSM ..




                                         25
.. and this is the simplified diagram of the integrated BSM model

                                               Biodiesel Development Model

                                                                          Sustainability Impact Macro Sub-Model

                Sustainable
                                                                                                             Socio- Tech
                 Indicators
                                                     Environment Module                                        Module
                                    GHG              Climate            Forest        Water
                                   Emission          Change                                               Household
                  Social




                                                                                                                              Life Expectancy
                                                                                                            Income
                 Economy                              Economic Module                                     Distribution

                 Environ-
                                      Production                        Government                          Population
                  ment
                                   Agri       Serv      Ind       Inco       Exp       Balan
                                                                   me        end        ce                Technology
                  Energy
                   Mix
                                   Relative           International              Investment               Employment
                                    Prices                Trade
                 Biodiesel
                 Volume
                                                                          Energy Module
                                                      Oil                                  Energy Demand
                                    Prod       Explora         National           Residential      Serv      Ind     Transp
                                                tion            Price                                                  ort



                                                                                                                    Biodiesel
                  Sustainable Indicator                Financial        Social      LCA Environment                    Micro
                                                                                                                   Sub-Model

                      Land Clearing and                        CPO Factory                      Biodiesel          Biodiesel
                         Plantation                                                                                 Price &
                                                                                                                   Demand
                   Land Clearing                            Expansion                           Expansion           Module
                   Rate & Types      Plantation              Decision      Extraction            Decision

                                                     Integrated Chain                            Single
                                                                                                 Chain
                                                                                                                                                26
.. with these global assumptions for both micro and macro models …


            Endogenous                  Exogenous                      Excluded
    Production Volume and   World Oil Price                  Weather and Climate
    Capacity Expansion      World CPO Price                  Workers Productivity
    Cost of Goods Sold      Fresh Fruit Bunch Price          Technology
    Population              Biodiesel Blending, Deman        Politics and Social Issues
    Life Expectancy         Land Productivity                Disaster
    Education Index         Subsidized Diesel Market Price   Crime and Corruption
    GDP                     Inflation                        Terrorism
    Technology              Migration                        War
    Investment              Population Growth Rate           Other renewable energy
    Consumption             Health                           production
    Debt                    Mining Production
    Land Utilization        Grants
    Energi Demand           Emergency Funds
    Oil Production          Exchange Rate
    GHG Emissions           Urbanization Rate
    Carbon Cycle            Omission and Adjustments Table
    Climate Change
    Forest


                                                                                          27
And connecting the micro and macro model ..

        Micro Model        Sub-Models                  Macro Model            Sub-Models
  Tax                        Financial   ►   Government Income                  Economy
  Income from Production     Financial   ►   Agricultural Production            Economy
  Labor                        Social    ►   Employment                           Social
  Land Clearing            Environment   ►   Forest                           Environment
  Net CO2 Emission         Environment   ►   Net CO2 Emission                 Environment
  Actual Biodiesel                       ►   Biodiesel Production Aggregate      Energy
  Production                Financial
  Biodiesel Demand          Financial    ◄ National Petroleum Demand            Energy




                                                                                            28
.. with the capabilities to generate these sustainability indicators …

 micro
           Financial                          Social                     Environment                          Energy
 Biodiesel EBITDA, IRR, & NPV                                                                         Biodiesel Produced (ton)
                                   Workers (People)           CO2 Emission (kg CO2)
 (IDR)
 Palm Oil Plantation EBITDA,       Plasma Farmers Household Photo-oxydant formation (kg
 IRR, & NPV (IDR)                  (Number)                 Ethylene)
                                                            Climate Change (Kilo Ton Emtion)
                                                            Human Ecotoxicity (kg NO2)
                                                            Nature Abiotic Depletion (kg
                                                            Antimony)
                                                            Eutrophication Impact (kg SO2)
                                                            Acidification Impact (kg PO4)



 macro
         Economi                         Social                Environment                              Energy
                                                         Greenhouse Gas emissions
 Agricultural Production                                                                Residential Petroleum Demand
                                Population (person)      per USD of GDP
 (USD)                                                                                  (kiloliter)
                                                         (kg/(year*USD))
                                Rural Gini Coefficient   Carbon Footprints per Capita
 Industrial Production (USD)                                                            Industrial Petroleum Demand (kiloliter)
                                (index)                  (kg/(year*person))
                                Unemployment                                            Commercial Petroleum Demand
 Service Production (USD)                                Forest Land (km2)
                                (number)                                                (kiloliter)
 Real GDP at Market Price                                                               Transportation Petroleum Demand
                                                         CO2 Emission Total and Fuel
 (USD)                                                                                  (kiloliter)
 Real GDP per Capita (USD)                                                              Total Energy Demand (BOE)
                                                                                        Biodiesel Share of Energy (BOE)
                                                                                                                                  29
Agenda of the Presentations


 •   Research Overviews and Methodology

 •   Model Conceptualization and Model Formulation

 •   Model Verification and Validation

 •   Scenarios Development and Analysis




                                                     30
Micro Model Verification and Validation
                                                                                Output
        Aspek Finansial             (min)          (max)       (rata-rata)                       Deviasi              Referensi
                                                                                Model
Produktivitas CPO                                                                                            infosawit, juni 2009 hal
                                     3.73           3.91            4                             9.66%
(ton/hektar/tahun)                                                                3.37                                  22
Produktivitas TBS                                                              21.3324997                    infosawit, juni 2009 hal
                                      20            30             25                             6.66%
(ton/hektar/tahun)                                                                  3                                   49
Ekstraksi CPO (ton/ton TBS)          20%          23.75%                         23.50%           1.05%        iyung pahan, hal 306
Ekstraksi KPO (ton/ton TBS)         0.045          0.055          0.05                            0.00%       iyung pahan, hal 306
                                                                                  0.05
                                      Rp             Rp            Rp              Rp
HPP CPO (ribu rupiah/ton)                                                                         8.01%       iyung pahan, hal 306
                                   1,542.00       3,751.00      2,646.50        3,450.59



                                                                                             rata-rata       Output
                                                                                                                            Deviasi
        Aspek Sosial                        Min                         Max               (10 ribu hektar)   Model
                                  5 orang / 10 hektar          1 orang/ 10 hektar               1000         1000            0.00%
  penyerapan tenaga kerja             perkebunan                  Perkebunan
                                                             infosawit, februari 2009
          referensi            infosawit, mei 2009 hal 12             hal 15



                                                                                Output
       Aspek Lingkungan             (min)          (max)       (rata-rata)                       Deviasi              Referensi
                                                                                Model
Emisi GHG-GRK CPO Production                                                                                 infosawit, oktober 2009
                                     250            450                  350        418        7.044357%
     (kg CO2-eq/ton CPO)                                                                                             hal 46




                                                                                                                                        31
.. the model behave as we expected in the reference modes …

                           Produksi Pertanian                                                                    Biodiesel Production
               $100.00                                                                      12 kiloliter/yr

                $80.00                                                                      10 kiloliter/yr
                                                                                             8 kiloliter/yr
BMilliar USD




                                                                                 Millions
                $60.00
                                                                                             6 kiloliter/yr
                $40.00                                                                       4 kiloliter/yr
                $20.00                                                                       2 kiloliter/yr
                                                                                             0 kiloliter/yr
                   $-




                                                                                                              2016




                                                                                                              2022
                                                                                                              2006
                                                                                                              2007
                                                                                                              2008
                                                                                                              2009
                                                                                                              2010
                                                                                                              2011
                                                                                                              2012
                                                                                                              2013
                                                                                                              2014
                                                                                                              2015

                                                                                                              2017
                                                                                                              2018
                                                                                                              2019
                                                                                                              2020
                                                                                                              2021

                                                                                                              2023
                                                                                                              2024
                                                                                                              2025
                                                                                                    Produksi Biodiesel Model   Produksi Biodiesel Referensi
                         Dengan Biodiesel   Tanpa Biodiesel


                                                              Modus Referensi Produsen Biodiesel
                                            400
                                            350
                                            300
                                            250
                                            200
                                            150
                                            100
                                             50
                                              0
                                                  2005
                                                  2006
                                                  2007
                                                  2008
                                                  2009
                                                  2010
                                                  2011
                                                  2012
                                                  2013
                                                  2014
                                                  2015
                                                  2016
                                                  2017
                                                  2018
                                                  2019
                                                  2020
                                                  2021
                                                  2022
                                                  2023
                                                  2024
                                                  2025
                                                                    Jumlah Produsen Biodiesel Model
                                                                    Jumlah Produsen Biodiesel BAU



                                                                                                                                                              32
.. we also validates the key variables on GDP and agricultural production ..

  Sub-Model Ekonomi :
       Nilai Produksi Pertanian (USD)
       Nilai Produksi Domestik Bruto (USD)

                     Produk Domestik Bruto Perbedaaan
Economic Sphere
                  T21 Indonesia World Bank    Hasil
     2006          $ 229,018.64 $ 219,327.66    4.42%
     2007          $ 247,375.08 $ 233,097.35    6.13%
     2008          $ 253,366.27 $ 247,228.81    2.48%




                    Agricultural Production Perbedaaan
Economic Sphere
                  T21 Indonesia World Bank     Hasil
      2006         $ 31,500.72 $ 31,157.66       1.10%
      2007         $ 33,767.00 $ 32,226.13       4.78%
      2008         $ 36,225.87 $ 33,762.22       7.30%




                                                                               33
.. and the key variables on population, forest land and total energi demand..

Sub-Model Sosial-Teknologi :
     Populasi Indonesia
Sub-Model Lingkungan :
     Total Lahan Hutan
Sub-Model Energi
     Total Permintaan Energi


                         Populasi        Perbedaaan
Aspek Sosial
               T21 Indonesia UN Ecosoc      Hasil
   2006          219,210,292 221,936,080      1.23%
   2007          223,199,430 224,645,990      0.64%
   2008          227,172,106 227,323,560      0.07%
   2009          231,094,107 229,952,620      0.50%
   2010          234,919,243 232,517,000      1.03%


                           Environmental Sphere                2006        2007        2008       2009


                                      T21 Indonesia         866,236.00   852,279.97 836,752.62 819,088.11
                      Forest Land
                                      UN FAO Projection     866,236.00   847,522.00 840,741.82 834,015.89

                                                         Total Kebutuhan Energi             Perbedaaan
                           Energy Sphere
                                            T21 Indonesia        Handbook ESDM                 Hasil
                               2006              538,514,397.37                 538,453,524      0.01%
                               2007              582,389,558.64                 576,827,000      0.96%
                               2008              614,832,910.93                 643,691,000      4.48%
                               2009              630,507,616.78                 656,564,820      3.97%
                               2010              721,556,811.56                 715,655,654      0.82%      34
Agenda of the Presentations


 •   Research Overviews and Methodology

 •   Model Conceptualization and Model Formulation

 •   Model Verification and Validation

 •   Scenarios Development and Analysis




                                                     35
.. From the purpose of the research, we formulate these questions for
analysis …

                                      • How is the cost structure?
                                      • Has the current strategy of subsidy, TLCF, etc works?
                  Insights on         • What factors create more than one impact to
                  Micro Level           sustainability?
 biodiesel
micro model

                          The minimum condition for Micro Model to Works

                                      • Could the model evaluates the Government Promise
                                        of 3Pros with Biodiesel?
                 Insights on          • How is the behavior dynamics of the impacts?
                 Macro Level


sustainability
macro model                 If the promise is correct, How?

                                     Government Roles: Direct vs Indirect

                 Scenarios to                              Micro Model Switch   Macro Model Results
                 Highlight the
                 Sustainability      Without Biodiesel         Scenario A             Selected
                  Dynamics                                                             Focus
                                     Direct Strategy           Scenario B1
                                                                                     Indicators
                                     Indirect Strategy         Scenario B2

 Scenarios &                    Plausible, not just possible
  Analysis                                                                                        36

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Presentasi Penelitian S3

  • 1. Pengembangan Model Multi Tingkatan Industri Biodiesel Berbahan Minyak Kelapa Sawit secara Berkelanjutan di Indonesia dengan Pendekatan Sistem Dinamis Akhmad Hidayatno NPM 0806400882 Program Studi Teknik Kimia
  • 2. Agenda of the Presentations • Research Overviews and Methodology • Model Conceptualization and Model Formulation • Model Verification and Validation • Scenarios Development and Analysis 2
  • 3. Due to the pressure of increase oil prices starting in 2006, the government initiated energy diversification program that includes biodiesel 2025 Penciptaan 10.22 mil kL Kepastian Efek Nilai Tambah Industri Regulasi Diversifikasi BBN 20% Pasar Penyerapan Tenaga Kerja UU 30/2007, (Untuk Inpres 1/2006, BioDiesel Peningkatan Nilai Tambah 2015 Penggerak Ekonomi Permen ESDM 32/2008 2025: 20%) Domestik 4.52 mil kL Menko Perekonomian Menteri Perdagangan International Standard 15% Bodies (RSPO) Menteri Perindustrian Menteri Keuangan LSM International Export and International Market 2010 Cultivation CPO/Oil Production BioDiesel Production Blending Distribution Local Market Subsidi Langsung 2.41 mil kL Menko Perekonomian Menteri Kehutanan Menko Perekonomian Menteri Perindustrian Menko Perekonomian Menteri Perindustrian Menko Perekonomian Menteri ESDM Menko Perekonomian Menteri ESDM Pembelian 5% Menteri Keuangan Menteri Keuangan Menteri Keuangan Menteri Keuangan Menteri Keuangan Menteri Negara Lingkungan Hidup Menteri Negara Riset dan Teknologi Menteri Negara Riset dan Teknologi Menteri Negara Riset dan Teknologi Menteri Negara Lingkungan Hidup Biodiesel Meneg BUMN Meneg Koperasi & UKM Meneg BUMN Meneg Koperasi & UKM Meneg BUMN Meneg Koperasi & UKM PERTAMINA Meneg BUMN PERTAMINA Rp 2000,- Menteri Pertanian Menteri Perhubungan Menteri Perhubungan Mendagri Mendagri Gubernur dan Bupati Gubernur dan Bupati 2006 2007 2008 2009 2010 - now Diversification Investment Biodiesel Reality Started Attractiveness Producers kicks in ??? Growth Harga Minyak Dunia Meroket, Harga CPO Anjlok 1.8 juta kL 50% 14 1
  • 4. What are the challenges and impacts of biodiesel industry development in Indonesia? What should the government do to What is the sustainability contribution support the emergence of mature and impact of a mature Biodiesel biodiesel industry and market? Industry in Indonesia at the national level? how? what? Micro Model of impact Macro Model of Biodiesel National Production Chain Sustainable Enterprise Development 4
  • 5. .. early hypothesis can be drawn into these 2 reference modes showing 2 possible outcomes of biodiesel industry growth … Produksi Biodiesel Modus Referensi: Grafik ini menunjukkan kekhawatiran pemerintah Perusahaan selaku pemilik permasalahan terhadap kemungkinan Biodiesel adanya gap antara produksi biodiesel ideal dengan Harapan produksi sesungguhnya. Modus Referensi: Perusahaan Biodiesel Dihindari 2005 2010 2015 2020 2025 Modus Referensi: Perusahaan Jumlah Produsen Biodiesel Biodiesel Modus Grafik ini menunjukkan kekhawatiran pemerintah Referensi: selaku pemilik permasalahan terhadap kemungkinan Perusahaan Biodiesel Harapan tidak tertariknya industri swasta terhadap produksi Modus Referensi: biodiesel Perusahaan Biodiesel Modus Referensi: Perusahaan Biodiesel Dihindari 2005 2010 2015 2020 2025 5
  • 6. Alternatif Kebijakan ESDM Facilitating Quantity Matching Price Government Freeing Allocate Markets Regulations Grants Regulations Corporations Markets Property Meneg BUMN (Legalize) Rights Tax Credits Tariffs Subsidies Meneg UKM Kehutanan Interfacing Model Pertanian SAM (Social Accounting Matrix) Perdagangan Reference Energy Masukan dan System Konsumsi Kinerja Keluaran Meneg LH Faktor Eksternal Produksi Terpenuhinya Target Harga Minyak Perindustrian Nasional Produksi Dunia Biodiesel secara Berkelanjutan Menristek Harga Ekspor Pendapatan Kebutuhan Total Loan/Debt Ekonomi/ Minyak Kelapa Sawit Energi per Sektor Keuangan Model Makro (Transportasi PSO, Investasi Non-Psi, Industri) Pendidikan Kinerja Berkelanjutan Problem Owner: Mendagri Total Luas pada Mikro dan Makro Pemerintah (Gubernur/ Lahan Lahan Teknologi Bupati) Energy Balance Indikator Ekonomi Tenaga Kerja Kurs Mata Tujuan Utama: Uang Daya Dukung Pemenuhan Target Jangka Lingkungan Indikator Sosial Panjang Pemanfaatan Pasokan Energi Kesehatan (Tanah, Air) Bahan Bakar Nabati Tidak Terbarukan (Gas, Coal, Nasional Indikator Lingkungan Pasokan Energi Sumber Daya Kemiskinan Keterbarukan Lingkungan Usaha (Other Biofuels, Konservasi Geothermal, Hydro) Emisi/Polusi (GHG, Populasi Toxic Susbtance) Stakeholder (Pengusaha Biodiesel, PERTAMINA, Pabrik dan Perkebunan Kelapa Sawit, Pasokan Biodiesel Kontribusi Lingkungan Kontribusi Sosial Konsumen Biosolar, LSM, RSPO) Model Mikro Industri BioDiesel Perkebunan Kelapa Sawit Produksi MKS/CPO Produksi BioDiesel En En En Ec Soc Ec Soc Ec Soc LCA LCA LCA 6
  • 7. Research Methodology is based on system dynamics methodology Formulasi Riset Tujuan, Batasan, Journal Review, Pengumpulan Data Pengembangan Konseptual Model Mikro Tujuan, Batasan, Asumsi, Modus Referensi, Hipotesa Dinamis, dan Causal Loop Diagram Utama Model Mikro Model Finansial Pengembangan Model finansial dengan aplikasi spreadsheet Pengembangan Model Mikro Life Cycle Analysis Pengumpulan dan Pengolahan Data, Stock Perhitungan LCA berdasarkan peta proses dan model and Flow Model Mikro, Verifikasi dan finansial Pengembangan Konseptual Validasi Model Makro Tujuan, Batasan, Asumsi, Modus Referensi, Hipotesa Dinamis, dan Causal Loop Diagram Utama Model Makro Pengembangan Skenario Pengembangan Model Makro Analisa Alternatif Kebijakan, Pengolahan Pengumpulan dan Pengolahan Data, Stock Data Input and Flow Model Makro, Verifikasi dan Validasi Simulasi Skenario & Analisa Skenario dijalankan didalam simulasi dan di analisa Analisa Perilaku Model dan Skenario 7
  • 8. Agenda of the Presentations • Research Overviews and Methodology • Model Conceptualization and Model Formulation • Model Verification and Validation • Scenarios Development and Analysis 8
  • 9. The research acknowledges that developing this model is a daunting task with so many information still unknown… Bioenergy Modeling is more Complex Ross (2000) Highlights 3 Complexities of Bioenergy Modeling (1) Local conditions of sources would limit the generic model, (2) still few documented large scale bioenergy systems, (3) Biofuel are usually a by-products of main activities which would increase dependencies Ability to map the complex systemic relationships of 3 aspects of sustainability The complex relationships of variables within the systems can be traced and evaluated Preparation for still so many unknown variables Long Time Period of Analysis The target for biofuel development is 20 years. Short-term or medium-term model that dominates economic models is insufficient 9
  • 10. We develop the micro model based on process map of biodiesel production chain, supported by financial model, LCA approach, and sustainability framework in corporations … Peta Proses Penetapan dan Proyeksi Data Produksi Exogenous yang Berpengaruh pada Seluruh Komponen Model Sub-Model Financial Sub-Model Verifikasi Analisa Produksi Model Sustainability dan Validasi Simulasi Indicators Variable Variable Finansial Environment (LCA) Production Perhitungan Mendapatkan Data Rumus LCA dari data Kalkulasi Investasi, Sekunder Pendanaan dan Biaya Detail dalam Variable Spreadsheet Labor Social Konsep Sustainability 10
  • 11. .. the micro model also tries to accommodate different ownership structure types of the production chain .. Structure 1 (Code 1) PALM CPO FACTORY CPO MARKET PLANTATION Total Differentiation. No Single Ownership of all Chains BIODIESEL BIODIESEL FACTORY MARKET Structure 2 (Code 2) PALM CPO FACTORY CPO MARKET PLANTATION Plantation and CPO Factory are single owner, however Biodiesel Factory is independent. BIODIESEL BIODIESEL This is the typical structure of the industry FACTORY MARKET Structure 3 (Code 3) PALM Conglomeration, total vertical PLANTATION CPO FACTORY integration. All Chain are owned by single company dedicated to BioDiesel MArket BIODIESEL BIODIESEL FACTORY MARKET 11
  • 12. .. And we come up with this conclusions as a dynamic hypothesis Export Tariffs Biodiesel Production Extraction CPO Domestic No of Biodiesel Rate CPO Supply Companies Biodiesel Production Production “Green Gold” Volume Exports Income R2 – Biodiesel Capacity Investment Biodiesel National CPO Production Investment B1 – Biodiesel Capacity Biodiesel Cost of Attractiveness Competition Supply World Biodiesel Environmental CPO Price Protection (RSPO) Company Profitability Supply and CPO Producers Demand Gap Fresh Fruit Bunch Profitability R1 – CPO Investment Drive (FFB) Production Biodiesel Price Biodiesel Plantation Domestic Subsidy Blending Area CPO Price Domestic Mandate CPO Price for Diesel Price Land Clearing Time to CO2 Integrated Rate Recovery Ownership Structure World Oil National Biodiesel Slash and Price Demand Burn Environmental Impacts (LCA) Environment Land Domestic Number of Not Slash and Certification Productivity Subsidy National Diesel Workers Burn Fuel Demand R3 – Land Expansion Domestic CPO Unproductive R2 – Biodiesel Forest Effects on CPO Demand Land Critical Land CPO Producers’ Price Workers CSR Allocation Productivity Domestic GDP Peat Land 12
  • 13. .. and developing the stock and flow model, this is the bird view of the micro model … Physical Flow – Pulled by Demand Financial Calculation Information Extraction and Flow 13
  • 14. .. which can be simplified … • CO2 • Land Opening Environmental Impact • Life Cycle Analysis Material Flow National Petrol Diesel Demand Plantation CPO Factory Biodiesel Factory • Land Opening • Factory Activity • Factory Activity • Plantation Activity • Palm Oil Production • Biodiesel Production • Palm Oil Harvesting • Palm Kernel Oil Prod • Gliserin Production Plantation CPO Factory Biodiesel Factory • Investment &Loan • Investment and Loan • Investment & Loan • Cash flow • Cash flow & Profitability • Cash flow & Nat. Demand • FFB Price • CPO & PKO Price • Biodiesel & Petrol Price Information and Financial Flow • Employment • Rural Development Social Impact • RSPO • Nucleus Development 14
  • 15. After developing the mikro model the research started to work on the macro model .. What are the challenges and impacts of biodiesel industry development in Indonesia? What kind of integrated policy the government should do to support the emergence of mature biodiesel The models aims to industry and market? • better understanding of the structure of relationships between biodiesel industry and sustainability in the national level What is the sustainability • Shows the behavior of key contribution and impact of a mature sustainable indicators with the Biodiesel Industry in Indonesia at production of biodiesel the national level? 15
  • 16. .. it will link through a translator sub-module with focus on mikro model of sustainability indicators and makro model energy demand outputs which translates to biodiesel demands … social output model environmental makro output sustainability input (T21 impact Based) economy output Agregasi/dis-agregasi linear dengan mempertimbangkan delay energy demand sub- model environmental output input model mikro social output sustainability financial indicators output 16
  • 17. … and we found T21 Starting Framework Model that based on sustainability interactions of developing nations … Tenaga Kerja Produktif , Konsumsi RT Sosial & Economic Human Capital Capital Infrastruktur, Bangunan, Kesehatan, keahlian, Alat-alat Produksi, dsb pengetahuan, semangat komunitas Pendapatan, Kesempatan Kerja Emisi Polusi, Sampah, Efek Kesehatan, investasi konservasi Kualitas hidup sumber daya Modal ekonomi, menyerap/ Lingkungan melepaskan polutan Flora dan fauna, sumber daya alam, air, kesadaran udara konservasi lingkungan 17
  • 18. … it is transparent and robust, so it can be expanded to accommodate the need for analysis of other areas that affects sustainable development… REGIONAL ENERGY DEVELOP MENT T21 Energy T21 Papua USA T21 has been used in many countries and for different focus analysis of sustainability framework, there are T21 China, Lolland, North America, USA, Jamaica, Ghana, Malawi, Mali, Mozambique, Papua, Guyana 18
  • 19. .. we start to investigate 3 model variations of T21 models to seek understanding of the structure involved … Basic Structure (Starting Framework) T21 Starting Framework Focuses on MDGs Numbers Showcase of SD approach: behavior not projections T21 Energy T21 Papua USA Energy Supply Demand Modules Analysis Mining Infrastructure Focuses on US Energy Policy Impact to social and environment Regional Model of Papua 19
  • 20. .. and we decided to use T21 as the base model, why? .. Build on the T21 Strength Ability to map and draw the complex systemic relationships of 3 aspects of sustainability, Transparency, Fitness of Use (Aggregation Level and Time Period of Analysis), Tools for increasing understanding The only models that started from sustainability development perspectives Other models were begun as economy-energy models than expanding to cover environment and social aspects Compatibility with the micro model development Biodiesel industry sub model has been developed Indonesian sub-models are already exist T21 Papua focuses on the development of Papua Opening the door of future researches on sustainability The basic model of BSM can be used for other purpose of analysis 20
  • 21. … we re-engineered the model based on this logic … T21 Starting 2008 Data T21 Papua Updates & Framework Structure Availability T21 Energy Data USA Structure Processing Biodiesel Tujuan Model Sustainability Model (BSM) Biodiesel Aggregating Micro Model Engine 21
  • 22. … we updates the data using these data sources … Ekonomi Sosial Lingkungan Energi World Bank: World Development Index X X X Report and Database 2009 Ringkasan Laporan APBN 2005-2010 X International Monetary Fund Report and Economic X Outlook 2009 Sistem Neraca Sosial Ekonomi Indonesia 2005 X X Statistical Database Bank Indonesia X Food and Agriculture Organizations (FAO) X X Statistics International Labor Organization Report X Organization For Economic Co-Operation And X Development (OECD) Report FAO reports on Forestry and Water Utilization X Energy Handbook – Kementerian ESDM 2005- X 2010 Energy Information Administration (EIA) X International Energy Outlook (IEO) Navigating the numbers , Greenhouse Gas Data x and International Climate Policy – World Resource Institute (WRI) 22
  • 23. .. these are the sub-models dan modules … Ekonomi Sosial Lingkungan Energi Produksi populasi perubahan Permintaan energi jumlah produksi Pertanian iklim rumah tangga biodiesel Produksi teknologi efek rumah Permintaan energi jumlah tenaga Industri kaca & polusi Industri kerja Produksi Jasa pendidikan cadangan air Permintaan energi jumlah Jasa penggunaan lahan Investasi tenaga kerja kehutanan permintaan energi pendapatan transportasi nominal Pendapatan distribusi Eksplorasi Minyak jumlah Pemerintah pendapatan Bumi kontribusi pajak Pengeluaran rumah Biaya Minyak Pemerintah tangga Bumi Neraca harapan Total Kebutuhan Pemerintah hidup energi Perdagangan Internasional Harga Relatif 23
  • 24. .. and these are the dynamic relationships … Economy Social education Government Government Revenue Expenditure Life Household expectancy Consumption R1Public health Economic Growth Loop population international trade R4 productivity loop Household Income employment Environmental Household Savings Climate Impact 3 sectors R3 technology growth loop GHG & Carbon R2 Private production Footprint Economy Loop Forest Investment Carbon Cycle Water Technology Energy Demand R5 biodiesel residential demand growth loop technology services biodiesel industrial industry transportation 24
  • 25. .. this is the bird view of the BSM .. 25
  • 26. .. and this is the simplified diagram of the integrated BSM model Biodiesel Development Model Sustainability Impact Macro Sub-Model Sustainable Socio- Tech Indicators Environment Module Module GHG Climate Forest Water Emission Change Household Social Life Expectancy Income Economy Economic Module Distribution Environ- Production Government Population ment Agri Serv Ind Inco Exp Balan me end ce Technology Energy Mix Relative International Investment Employment Prices Trade Biodiesel Volume Energy Module Oil Energy Demand Prod Explora National Residential Serv Ind Transp tion Price ort Biodiesel Sustainable Indicator Financial Social LCA Environment Micro Sub-Model Land Clearing and CPO Factory Biodiesel Biodiesel Plantation Price & Demand Land Clearing Expansion Expansion Module Rate & Types Plantation Decision Extraction Decision Integrated Chain Single Chain 26
  • 27. .. with these global assumptions for both micro and macro models … Endogenous Exogenous Excluded Production Volume and World Oil Price Weather and Climate Capacity Expansion World CPO Price Workers Productivity Cost of Goods Sold Fresh Fruit Bunch Price Technology Population Biodiesel Blending, Deman Politics and Social Issues Life Expectancy Land Productivity Disaster Education Index Subsidized Diesel Market Price Crime and Corruption GDP Inflation Terrorism Technology Migration War Investment Population Growth Rate Other renewable energy Consumption Health production Debt Mining Production Land Utilization Grants Energi Demand Emergency Funds Oil Production Exchange Rate GHG Emissions Urbanization Rate Carbon Cycle Omission and Adjustments Table Climate Change Forest 27
  • 28. And connecting the micro and macro model .. Micro Model Sub-Models Macro Model Sub-Models Tax Financial ► Government Income Economy Income from Production Financial ► Agricultural Production Economy Labor Social ► Employment Social Land Clearing Environment ► Forest Environment Net CO2 Emission Environment ► Net CO2 Emission Environment Actual Biodiesel ► Biodiesel Production Aggregate Energy Production Financial Biodiesel Demand Financial ◄ National Petroleum Demand Energy 28
  • 29. .. with the capabilities to generate these sustainability indicators … micro Financial Social Environment Energy Biodiesel EBITDA, IRR, & NPV Biodiesel Produced (ton) Workers (People) CO2 Emission (kg CO2) (IDR) Palm Oil Plantation EBITDA, Plasma Farmers Household Photo-oxydant formation (kg IRR, & NPV (IDR) (Number) Ethylene) Climate Change (Kilo Ton Emtion) Human Ecotoxicity (kg NO2) Nature Abiotic Depletion (kg Antimony) Eutrophication Impact (kg SO2) Acidification Impact (kg PO4) macro Economi Social Environment Energy Greenhouse Gas emissions Agricultural Production Residential Petroleum Demand Population (person) per USD of GDP (USD) (kiloliter) (kg/(year*USD)) Rural Gini Coefficient Carbon Footprints per Capita Industrial Production (USD) Industrial Petroleum Demand (kiloliter) (index) (kg/(year*person)) Unemployment Commercial Petroleum Demand Service Production (USD) Forest Land (km2) (number) (kiloliter) Real GDP at Market Price Transportation Petroleum Demand CO2 Emission Total and Fuel (USD) (kiloliter) Real GDP per Capita (USD) Total Energy Demand (BOE) Biodiesel Share of Energy (BOE) 29
  • 30. Agenda of the Presentations • Research Overviews and Methodology • Model Conceptualization and Model Formulation • Model Verification and Validation • Scenarios Development and Analysis 30
  • 31. Micro Model Verification and Validation Output Aspek Finansial (min) (max) (rata-rata) Deviasi Referensi Model Produktivitas CPO infosawit, juni 2009 hal 3.73 3.91 4 9.66% (ton/hektar/tahun) 3.37 22 Produktivitas TBS 21.3324997 infosawit, juni 2009 hal 20 30 25 6.66% (ton/hektar/tahun) 3 49 Ekstraksi CPO (ton/ton TBS) 20% 23.75% 23.50% 1.05% iyung pahan, hal 306 Ekstraksi KPO (ton/ton TBS) 0.045 0.055 0.05 0.00% iyung pahan, hal 306 0.05 Rp Rp Rp Rp HPP CPO (ribu rupiah/ton) 8.01% iyung pahan, hal 306 1,542.00 3,751.00 2,646.50 3,450.59 rata-rata Output Deviasi Aspek Sosial Min Max (10 ribu hektar) Model 5 orang / 10 hektar 1 orang/ 10 hektar 1000 1000 0.00% penyerapan tenaga kerja perkebunan Perkebunan infosawit, februari 2009 referensi infosawit, mei 2009 hal 12 hal 15 Output Aspek Lingkungan (min) (max) (rata-rata) Deviasi Referensi Model Emisi GHG-GRK CPO Production infosawit, oktober 2009 250 450 350 418 7.044357% (kg CO2-eq/ton CPO) hal 46 31
  • 32. .. the model behave as we expected in the reference modes … Produksi Pertanian Biodiesel Production $100.00 12 kiloliter/yr $80.00 10 kiloliter/yr 8 kiloliter/yr BMilliar USD Millions $60.00 6 kiloliter/yr $40.00 4 kiloliter/yr $20.00 2 kiloliter/yr 0 kiloliter/yr $- 2016 2022 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2017 2018 2019 2020 2021 2023 2024 2025 Produksi Biodiesel Model Produksi Biodiesel Referensi Dengan Biodiesel Tanpa Biodiesel Modus Referensi Produsen Biodiesel 400 350 300 250 200 150 100 50 0 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 Jumlah Produsen Biodiesel Model Jumlah Produsen Biodiesel BAU 32
  • 33. .. we also validates the key variables on GDP and agricultural production .. Sub-Model Ekonomi : Nilai Produksi Pertanian (USD) Nilai Produksi Domestik Bruto (USD) Produk Domestik Bruto Perbedaaan Economic Sphere T21 Indonesia World Bank Hasil 2006 $ 229,018.64 $ 219,327.66 4.42% 2007 $ 247,375.08 $ 233,097.35 6.13% 2008 $ 253,366.27 $ 247,228.81 2.48% Agricultural Production Perbedaaan Economic Sphere T21 Indonesia World Bank Hasil 2006 $ 31,500.72 $ 31,157.66 1.10% 2007 $ 33,767.00 $ 32,226.13 4.78% 2008 $ 36,225.87 $ 33,762.22 7.30% 33
  • 34. .. and the key variables on population, forest land and total energi demand.. Sub-Model Sosial-Teknologi : Populasi Indonesia Sub-Model Lingkungan : Total Lahan Hutan Sub-Model Energi Total Permintaan Energi Populasi Perbedaaan Aspek Sosial T21 Indonesia UN Ecosoc Hasil 2006 219,210,292 221,936,080 1.23% 2007 223,199,430 224,645,990 0.64% 2008 227,172,106 227,323,560 0.07% 2009 231,094,107 229,952,620 0.50% 2010 234,919,243 232,517,000 1.03% Environmental Sphere 2006 2007 2008 2009 T21 Indonesia 866,236.00 852,279.97 836,752.62 819,088.11 Forest Land UN FAO Projection 866,236.00 847,522.00 840,741.82 834,015.89 Total Kebutuhan Energi Perbedaaan Energy Sphere T21 Indonesia Handbook ESDM Hasil 2006 538,514,397.37 538,453,524 0.01% 2007 582,389,558.64 576,827,000 0.96% 2008 614,832,910.93 643,691,000 4.48% 2009 630,507,616.78 656,564,820 3.97% 2010 721,556,811.56 715,655,654 0.82% 34
  • 35. Agenda of the Presentations • Research Overviews and Methodology • Model Conceptualization and Model Formulation • Model Verification and Validation • Scenarios Development and Analysis 35
  • 36. .. From the purpose of the research, we formulate these questions for analysis … • How is the cost structure? • Has the current strategy of subsidy, TLCF, etc works? Insights on • What factors create more than one impact to Micro Level sustainability? biodiesel micro model The minimum condition for Micro Model to Works • Could the model evaluates the Government Promise of 3Pros with Biodiesel? Insights on • How is the behavior dynamics of the impacts? Macro Level sustainability macro model If the promise is correct, How? Government Roles: Direct vs Indirect Scenarios to Micro Model Switch Macro Model Results Highlight the Sustainability Without Biodiesel Scenario A Selected Dynamics Focus Direct Strategy Scenario B1 Indicators Indirect Strategy Scenario B2 Scenarios & Plausible, not just possible Analysis 36