BRIEF RESEARCH REPORT article
Front. Energy Res.
Sec. Sustainable Energy Systems
Volume 13 - 2025 | doi: 10.3389/fenrg.2025.1502518
Shipping Cost Feasibility of LNG Distribution with Multi-Island Destinations of Gas Power Plants
Provisionally accepted
Muhammad Arif Budiyanto1*
Gigin Rizki Novrian1Achmad Riadi1Gerry Liston Putra1Gunawan Gunawan1Gerasimos Theotokatos2- 1University of Indonesia, Depok, Indonesia
- 2University of Strathclyde, Glasgow, Scotland, United Kingdom
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The demand for sustainable energy is increasing along with the increasing population in the archipelago. Liquefied Natural Gas (LNG) is claimed as a clean energy source with high efficiency. The aim of this paper is to conduct a shipping cost feasibility of LNG distribution for gas power plants located in multi-island areas. In this study, small-scale LNG carrier vessels with a capacity of under 10,000 m 3 , which have a shallow draft, are used to distribute LNG supplies with limited berth depth. The shipping route optimization method used is the capacitated vehicle routing problem combined with linear programming and a greedy algorithm with an objective function is to maximize the ship's load capacity. A shipping cost feasibility is carried out on financial assesment based on the construction of new ships and analysis of world gas prices. The results of this study obtained two route options to be supplied using two ships, namely 7,500 m 3 and 3,587 m 3 ships with an average speed of 13 knots. Based on the optimum route, the remaining cargo 3.3% of the ship's total capacity. The economic analysis shows the feasible shipping cost of LNG distribution at least the selling price is 5 USD/MMBTU with a payback period of 9 years.
Keywords: LNG distribution, Shipping route, Small-scale LNG Carrier, Capacitated vehicle routing problem, Shipping cost
Received: 10 Oct 2024; Accepted: 20 May 2025.
Copyright: © 2025 Budiyanto, Novrian, Riadi, Putra, Gunawan and Theotokatos. This is an open-access article distributed under the terms of the Creative Commons Attribution License (CC BY). The use, distribution or reproduction in other forums is permitted, provided the original author(s) or licensor are credited and that the original publication in this journal is cited, in accordance with accepted academic practice. No use, distribution or reproduction is permitted which does not comply with these terms.
* Correspondence: Muhammad Arif Budiyanto, University of Indonesia, Depok, Indonesia
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