Optimizing Selection of Appropriate Power Generation Systems in Indonesia by Using Distance Based Approach Method

A deterministic quantitative model has been developed for use to compare the technical, economical and environment feature of various electric power generating plants. The model, which is based on matrix operations, is used in evaluating the various aspects of energy sources available for the electricity generation systems in a developing country. Several energy sources are chosen which could be considered for production of electricity to meet current and future electricity demands. A complete set of energy sources will include fossil fuel fired power plants, nuclear power plants, and natural-renewable energy power plants. A customized computer code is developed to evaluate the overall function for each system from the performance corresponding to the selected energy attributes includes five area of concerns; energy economy, energy security, environmental protection, socio-economic development and technological aspects for the electric power generations. The model developed in this study is applied to the Indonesian’s electric power sector development. Most of the data required for the model application are obtained from various sources related to power industry in Indonesia, such as the Electricity Generating Authority of Indonesia (Perusahaan Listrik Negara, PLN), Government of Indonesia, World Bank, Asian Development Bank, United Nations, and other sources, both in published and public domains. The optimization technique is kept flexible so that it can accommodate other attributes that will be found to be important according to the decision maker’s preference. By so doing, the model virtually can be used to attack any decision problem with various different attributes to reach an optimal decision concerning the selection of energy sources for electricity generation. The result of this study will be a rank of energy sources for Indonesia power generation systems based on the composite distance of each alternative to the designated optimal source of energy.