VALUATION OF THE ECONOMIC VALUE OF ONSHORE TIN RESOURCE UTILIZATION USING THE TOTAL ECONOMIC VALUE APPROACH IN THE KEPULAUAN BANGKA BELITUNG PROVINCE

• Main Author: Gede Dion Pramana Utama, I
• Format: Theses
• Language: Indonesia
• Online Access: https://digilib.itb.ac.id/gdl/view/87972
• Institution: Institut Teknologi Bandung

Tin is one of the key mineral commodities that plays a crucial role in Indonesia’s economy, particularly in the Bangka Belitung Islands Province. However, its utilization often leads to conflicts such as land-use overlap, environmental degradation, and public resistance. Therefore, a comprehensive approach is needed to assess land use, considering both subsurface resource potential and the benefits of the ecosystem above it. This study employs the Total Economic Value approach to identify and classify the economic, social, and environmental benefits of tin mining and plantations, which have the potential for land-use conflicts. The analysis was conducted in the Large-Scale Mining Work Area (TB) of the Pemali Site, Bangka Regency, evaluating the benefits and impacts over the 2010–2037 period. The extended Cost-Benefit Analysis method was used to calculate the total economic value of both resources. The economic benefit assessment of the TB Site Pemali Work Area covers the period from 2010 to 2037. The calculated benefits include the economic value of tin metal from mining and processing, the processing of residual materials, timber and non-timber forest products, fiscal value, ecosystem service values, and option value. The results indicate that land use in the area provides a positive aggregate economic benefit, with direct benefits valued at Rp 95,167,604,668.64, indirect benefits at Rp 66,697,578,027.51, and option value at Rp 156,832,821,124.15. However, the degradation of ecosystem services has a negative value, highlighting the need for more sustainable land-use strategies.