Recent research published in the Journal of Maritime Transportation Science and Technology has shed light on the efficiency of Liquefied Natural Gas (LNG) distribution in Eastern Indonesia. The study, led by Dimas Angga Fakhri Muzhoffar from the Department of Mechanical Engineering at the University of Indonesia, compares two distribution schemes: Milk-Run and Hub-Spoke. This analysis is particularly significant as Indonesia is one of Southeast Asia’s largest LNG producers, and optimizing its distribution network is crucial for meeting domestic energy demands.
The Milk-Run distribution scheme involves transporting LNG from a single source to multiple delivery points, while the Hub-Spoke method relies on a central hub to distribute LNG to various locations. The study’s findings indicate that the Milk-Run method is more effective for LNG delivery in Northern and Southern Papua, providing a more streamlined approach to meet fluctuating demands. This insight could lead to substantial cost savings and enhanced service delivery in the LNG sector.
Muzhoffar highlights the importance of these findings, stating, “The Milk-Run distribution scheme was identified as an optimal solution for LNG delivery to multiple points from a single source.” Such efficiency is vital for Indonesia, where energy infrastructure is still developing, and the need for reliable energy sources is paramount.
The implications of this research extend beyond just transportation logistics. For commercial stakeholders, including LNG producers, shipping companies, and local energy providers, adopting the Milk-Run model could enhance operational efficiency and reduce costs. As Indonesia continues to expand its energy infrastructure, this study offers practical guidance for optimizing LNG distribution, ultimately supporting sustainable development goals in the region.
This research not only highlights the potential for improved LNG distribution but also emphasizes the importance of adapting logistics strategies to meet changing market demands. As the global energy landscape evolves, studies like this will be essential for informing policy and guiding industry practices in Indonesia and beyond.