Citation:

Mohammad Kholid Yadi, Anggara Wisesa. "Initiative Programs of Light Vehicle Management in Order to Support Environmental, Social, and Governance (ESG) in Zona 4 Regional 1 Subholding Upstream Pertamina" International Research Journal of Economics and Management Studies, Vol. 3, No. 11, pp. 1-10, 2024.

Abstract:

The oil and gas industry faces increasing challenges, as companies are now required not only to generate profits but also to address Environmental, Social, and Governance (ESG) aspects, including reducing carbon emissions. Subholding Upstream Pertamina (SHU) has set carbon emission reduction as an annual performance target, which has been cascaded to each department. For the Supply Chain Management (SCM) Department, a significant source of carbon emissions stems from the operation of over 440 light vehicles (LV) across Zona 4. Therefore, selecting an optimal alternative fuel that balances efficiency, environmental impact, operational feasibility, and regulatory compliance is crucial. This project evaluates four fuel alternatives—Biosolar CN48, Dexlite CN51, Pertamina Dex CN53, and Biosolar CN48 + Additive—using the Analytic Hierarchy Process (AHP) tool. AHP is employed to assess various criteria, including Environmental, Economic, Technical, and Quality aspects, integrating expert judgments from oil and gas sector Subject Matter Experts (SMEs) through pairwise comparisons. The results reveal that Pertamina Dex CN53 is the most suitable alternative, offering the best balance between operational efficiency and environmental benefits. The study provides valuable insights for energy companies and policymakers in adopting cleaner fuel alternatives, contributing to sustainable energy management and environmental conservation efforts.

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Keywords:

Carbon Emission Reduction, Alternative Fuel Evaluation, AHP.