Economic Values and CO2 Simulation on the Application of LPG for Public Fleets in Magelang, Indonesia: Executive Data to Support the Clean City Program

Abstract

The implementation of the ASEAN Clean Tourist City Standard caused restlessness among public fleet operators and the Department of Transportation of Magelang City. Therefore, this article presents the prediction of economic value and environmental benefits of public fleet in Magelang that will be converted from gasoline to LPG. Investment feasibility parameters, such as Break Event Point (BEP), Net Present Value (NPV), Internal Rate of Return (IRR), and Payback Period (PBP) are presented through three financing scenarios compared with the current gasoline price at the fuel station, RON 88 and RON 90. Simulation results indicate that investment is feasible with the government providing fiscal incentives through the procurement of converter kits. The wages of the public fleet crew under Minimum Wage City will rise by 30 % and 70 % to switch from gasoline RON 88 and gasoline RON 90, respectively. Meanwhile, environmental benefits are also expected to improve, with CO 2 emission reduction of 320.46 tons/year or about 11 % of gasoline usage. These two benefits (economics and environmental) are expected to support the clean city program in Magelang City, Indonesia.

Converting Vehicle to LPG/Vigas: A Simple Calculator to Assess Project Feasibility

“…20 million, BEP will be obtained at 51,000 km with a payback period up to 31 months. This BEP will be faster if conversion costs are lower, as discussed in the previous study [15]. In this case, the consumption of gasoline and LPG is assumed to be the same because gasoline and LPG have almost the same content energy, around 46 MJ/kg.…”

“…This cost is unpredictable, depending on the condition of the vehicle to be converted. Therefore, the conversion cost model is presented in Figure 1, as reported in previous authors' study [15]. Therefore, this paper presents a simulation of conversion calculator from gasoline to LPG that has considered the pre-conversion cost and the difference in maintenance costs, considering that LPG-fueled vehicles have the opportunity to use engine oil longer than vehicles operating with gasoline [16].…”

Kalkulator Konversi Bensin ke LPG/ Vigas

“…Jumlah biaya ini tidak dapat diprediksi, tergantung pada kondisi kendaraan yang akan dikonversi. Oleh karena itu, model biaya konversi disajikan pada Gambar 1 [15]. Gambar 1.…”

Possibilities of Energy Harvesting from the Suspension System of the Internal Combustion Engine in a Vehicle

“…There is an increasing interest in the fuels of vegetable origin (bio-diesel) [1,8] gas fuels from biogas plants and other, e.g. LPG, CNG [9][10].…”