STUDY ON SOCIO ECONOMIC BENEFITS OF NICKEL MINING IN SOUTHEAST SULAWESI PROVINCE AND ITâS IMPACT ON LOCAL ECONOMY
Southeast Sulawesi province is an area with a large enough nickel resources, nickel mining has many socio economic benefits for the region, both direct and indirect benefits. Based on the Extended Cost Benefit Analysis (CBA) calculation method, on nickel mining activities, company will earn econo...
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| Format: | Theses |
| Language: | Indonesia |
| Online Access: | https://digilib.itb.ac.id/gdl/view/56801 |
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| Institution: | Institut Teknologi Bandung |
| Language: | Indonesia |
| Summary: | Southeast Sulawesi province is an area with a large enough nickel resources, nickel mining has
many socio economic benefits for the region, both direct and indirect benefits.
Based on the Extended Cost Benefit Analysis (CBA) calculation method, on nickel mining
activities, company will earn economic benefit with the Net Present Value (NPV) of USD
127.523.432, and Benefit Cost Ratio (BCR) of 1,37. For Province it will provide benefits of
USD 18,240,246 with BCR value of 5.98. on nickel processing activities with the production
life of 20 years. The company benefit is USD 210 324 423 with BCR value of 1.22. While
Province will gain a net benefit of USD 39,948,971 with BCR value of 6.19.
Based on the Social Net Gain (NSG) analysis model at current prices, net social benefits nickel
mining activities for Southeast Sulawesi Province is USD 4,482,688, it’s the annual average in
the 8-year mine life, with the value of Net Gain Coefficient (NGC) of 6.19%, while nickel
processing activities will provide net social benefits net of $ 47,010,028, on average each year
over the 20 year life of the production, with NGC value of 42.36%.
Nickel mining and ferronickel processing industry sectors has a multiplier effect and upstreamdownstream
linkages numbers relatively low compared with other economic sectors.
Socio-economic efficiency, illustrated by the benefit cost ratio (BCR) on nickel processing
business (6.19) is greater than the nickel mining operations BCR (5.98). Overall it is concluded
that there is a linkages between the socio economic efficiency - economic efficiency - social
efficiency, that the nickel mining industry in Southeast Sulawesi Province can provide social
efficiency of economic, social efficiency and economic efficiency continues to increase for
regional development, and also expected to supports national development. |
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