Nett Present Value (NPV) analysis for projection of feasibility of Coastal Sand Dune Tourism in Parangtritis Village

Abstract

Sand dune in Parangtritis Village has a speciality of being formed in humid climates (tropical). The initiation of Barchan Sand Dune as a new tourism based on eco-tourism has to consider many aspects to maintain sustainability of sand dune. It needs some information on economic valuation to determine the capacity of tourism objects as a consideration of sand dune's sustainability. The purpose of this research is to know the projection of Barchan sand tourism's feasibility until 2045. The research method is the economic valuation approach by calculating Nett Present Value (NPV) as the analysis (cost) and the benefit earned by Barchan Sand Dune Tourism. The method of economic valuation is chosen because it is able to convert ecosystem services into currency value (IDR) so that it can be a valid comparator. The hypothesis in this study states that the feasibility of Barchan Sand Dune Tourism will increase until certain year, but the increased feasibility will cease in a certain year and decrease in the following year. The results are obtained based on the calculation of Nett Present Value (NPV), it shows positive value so that Barchan Sand Dune Tourism is feasible to continue until 2045 with estimated profit reached IDR648,000,000. The calculation results show a decrease in the level of tourism efficiency in 2017. The level of efficiency can be increased again through management optimization based on the characteristics of the tour, which are something to do, something to see and something to buy at Sand Dune Barchan.