Green house gas emission reduction potential by fuel gas converting on public bus

The objective of the research is to retrofit city buses from using gasoline to fuel gas (LPG) as it also gives a general recommendation of control schemes in investment policies, especially transport urban transport sector by using the control scheme, in addition to developing the methodology for the valuation of the environmental improvement of urban transport investment. This research also can be used for decision-makers at national and local level (city government) in developing policies, strategies, and urban transport investment program. The results showed that the fuel consumption per day are 28.544 kg or 35.68 litters of diesel (diesel density=0.8 kg / l) and lower heating value=42.5 MJ / kg, the energy used are 1213.12 MJ / days. The level of reduction in Greenhouse Gas Emissions (GHG) per year to replace petroleum diesel with LPG at 111.93 tons, the total GHG emission reduction=11 081 tonnes of CO2e. Financial benefits of LPG generates NPV of IDR 18,518,582, if there is a rise in the price of LPG fuel, resulting NPV of (-) IDR. 58.17.169. NPV indicates a positive result for IDR 100,051,666 if bus fares increased 25 % from the current rate.