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PRODUCTION OF BIOETANOL, SYRUP,
GRANULAR SUGAR AND GULA SEMUT
FROM NIRA AREN (Arenga pinnata MERR).


ARENGA PINNATA

Background:

Recently, world fuel keeps on hiking to fifties to sixties dollar per barrel. This description showed that available fuel sources in some countries had had the decreasing of production volume due to the increasingly lower fuel reserve. The countries failing to have fuel sources experienced difficulty to fulfill their needs in encountering the said situations.

In order to economize the use of BBM, some countries have sought alternative energy sources, and some already used is sun energy, wind, water, marine current and wave.

Many countries do not use for bioetanol and biodiesel energies, and for some developed countries are still in phase of context. In some advanced countries, bioetanol and biodisel energy have been used with the mixture of 10 - 20%. Especially, gasoline, such countries do no longer use Pb (Lead) and other additive (Manganese, Iron, Methyl Tertiary Butyl Ether) to increase the octane, but they use ethanol with alcoholic content of 96 99%. The use of ethanol does not produce emission, while such additive materials produce emission that can hamper the health. Pb can cause anemia and lowering of intelligence chiefly to the children, manganese if contaminated to the brain can cause Parkinson, Iron can cause hypertension and heart illness, while Methyl Tertiary Butyl Ether can cause cancer. Lately, world population also keeps on increase, so that the need of food also keeps on increase. There are any tendencies that people in the advanced country wish organic and functional food. One of the food stuff that much needed by human and industry is carbohydrate, such as sugar.

Indonesia has the various carbohydrate sources, one of them is Nira Aren, and from this material that it can be made bioetanol, syrup, sugar and Gula Semut. Potential plants of Aren in Piru Sub-district, Western Seram Regency is large and it is estimated more than 5,000 Ha, and only a small amount already used by people, i.e. making brown sugar and alcoholic drinks.

Purposes of Project:
To use potential forest sources of Aren to produce bioetanol for the mixture of car fuel and sugar for food stuff.
To give job opportunity for the people.
To create new PAD source to strengthen regional autonomy.

Project Outcome:
· The use of Aren plant for production of bioetanol and food.
· Local community working to produce bioetanol and food by using the raw materials of Nira Aren.
· The use of bioetanol for car fuel and clear market for the food products of Nira Aren (such as sugar, syrup and gula semut).

Expected Impact / Profit:
· Movement of Alcohol production by community to bioetanol and food production.
· The absence or lack of the security disturbance from the alcoholic drinkers.
· Improvement in income, welfare and social health.
· Improvement in PAD.

Project feasibility
· Processing of Bioetanol: proper with minimum selling price of Rp.5.000/liter.
· Processing of Granular sugar: proper with NPV>O, and IRR = 21,38%.
· Processing of Syrup: proper with value of NPV>O and IRR=23%.
· Processing of Gula Semut: very proper with value of NPV>O and IRR=23%.

Estimated Project Costs:
· Bioetanol Industry, production scale of 1,000 liter / day: Rp. 2.5 M
· Granular sugar industry, production scale of 5 tons / day: Rp.6M
· Syrup industry, business scale of 750 liter / day: Rp.2.2 M

Finance Arrangement: Fully Private Sector

Investment Cooperation: Local Government, Seram IEDZ, Local Community




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Areanga pinnata

PRODUCTION OF BIOETANOL, SYRUP, GRANULAR SUGAR AND GULA SEMUT FROM NIRA AREN (Arenga pinnata Merr).

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