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Scenarios analysis of energy mix for road transportation sector in Indonesia

Author

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  • Deendarlianto,
  • Widyaparaga, Adhika
  • Sopha, Bertha Maya
  • Budiman, Arief
  • Muthohar, Imam
  • Setiawan, Indra Chandra
  • Lindasista, Alia
  • Soemardjito, Joewono
  • Oka, Kazutaka

Abstract

The design of future transportation energy mix has become an important issue in Indonesia. Oil-based fuels such as gasoline and diesel seems to be infeasible options in the future due to limited availability, high subsidy, and environmental issues. This paper presents energy mix model for transportation sector in Indonesia. The model considers a variety of feasible technology options and includes three competing objectives, i.e., energy consumption, fuel subsidy, and CO2 emission. Scenarios were developed to include business as usual (BAU), the introduction of compress natural gas (CNG) technology, vehicle retirement program, the implementation of hybrid vehicles energy mix which considers future behavioral factors. The result indicates that the most effective strategy to reduce energy consumption and eventually fuel subsidy is through retirement program of old vehicles. The introduction of the CNG vehicle on public transportation appears to give little significance in reducing the annual subsidy costs, fuel consumption and CO2 emissions.

Suggested Citation

  • Deendarlianto, & Widyaparaga, Adhika & Sopha, Bertha Maya & Budiman, Arief & Muthohar, Imam & Setiawan, Indra Chandra & Lindasista, Alia & Soemardjito, Joewono & Oka, Kazutaka, 2017. "Scenarios analysis of energy mix for road transportation sector in Indonesia," Renewable and Sustainable Energy Reviews, Elsevier, vol. 70(C), pages 13-23.
    • Handle: RePEc:eee:rensus:v:70:y:2017:i:c:p:13-23
    DOI: 10.1016/j.rser.2016.11.206
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    4. Rahman, Arief & Richards, Russell & Dargusch, Paul & Wadley, David, 2023. "Pathways to reduce Indonesia’s dependence on oil and achieve longer-term decarbonization," Renewable Energy, Elsevier, vol. 202(C), pages 1305-1323.
    5. Rashid Khan, Haroon Ur & Siddique, Muhammad & Zaman, Khalid & Yousaf, Sheikh Usman & Shoukry, Alaa Mohamd & Gani, Showkat & Sasmoko, & Khan, Aqeel & Hishan, Sanil S. & Saleem, Hummera, 2018. "The impact of air transportation, railways transportation, and port container traffic on energy demand, customs duty, and economic growth: Evidence from a panel of low-, middle-, and high -income coun," Journal of Air Transport Management, Elsevier, vol. 70(C), pages 18-35.
    6. Chandra Setiawan, Indra & Indarto, & Deendarlianto,, 2021. "Quantitative analysis of automobile sector in Indonesian automotive roadmap for achieving national oil and CO2 emission reduction targets by 2030," Energy Policy, Elsevier, vol. 150(C).
    7. Fan, Yee Van & Klemeš, Jiří Jaromír & Walmsley, Timothy Gordon & Perry, Simon, 2019. "Minimising energy consumption and environmental burden of freight transport using a novel graphical decision-making tool," Renewable and Sustainable Energy Reviews, Elsevier, vol. 114(C), pages 1-1.
    8. Hoang Thanh Hanh & Dinh Tran Ngoc Huy & Pham Minh Dat, 2020. "Utilization of Energy Sources, Financial Stability and Prosperity in the Economy of Indonesia," International Journal of Energy Economics and Policy, Econjournals, vol. 10(5), pages 631-637.
    9. Deendarlianto, & Widyaparaga, Adhika & Widodo, Tri & Handika, Irine & Chandra Setiawan, Indra & Lindasista, Alia, 2020. "Modelling of Indonesian road transport energy sector in order to fulfill the national energy and oil reduction targets," Renewable Energy, Elsevier, vol. 146(C), pages 504-518.
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