Implementation of Fuzzy AHP Method to Determine the Best Alternative of Electric Energy Source for RKEF PT Vale Indonesia

PT. Vale Indonesia is planning to build a RKEF to produce an additional 10 kT of nickel in a year. The 70 MW RKEF power requirement will be met from excess power from 3 hydro power plant and an additional 20 MW from other power plants. The selection of additional power plants is complicated because the selection process involves multiple conflicting criteria that can be either qualitative or quantitative, therefore a MCDM approach is carried out to obtain the best alternative by ranking according to criteria with regards to their relative importance and calculating weight of each criterion. Furthermore, the selection of the best alternative power plants will use the analogy between AHP and the geometric mean Fuzzy AHP method to choose a power plant. This selection is managed using six criteria, namely the price of electricity or LCOE, funding sources for investment costs, the effect of greenhouse gases, availability of resources, effects to the operations to the processing plant and utilities, and the duration of the project. There are 4 alternatives compared, namely PLTD, PLTS, ORC and PLTA, and the results of the selection show that PLTA has the highest value and was chosen as the best alternative