Techno-Economic Analysis of Advanced Ku-Band High Throughput Satellite to Fulfill Broadband Access Needs of Indonesian Government

Indonesia, a maritime country and one of the biggest archipelagic countries globally, has complex issues regarding the distribution of broadband access throughout their regions. On the other hand, Indonesia’s broadband needs are growing rapidly in this digital era, no exception for the Indonesian government. The High Throughput Satellite (HTS) can be the best solution to overcome the inequality of network connectivity distribution across Indonesia. This paper discussed the techno-economic analysis of advanced HTS for Indonesian Government multifunctional services. The objective is to give an overview concerning the potential investment of advanced HTS with specifications in the Ku-Band frequency spectrum from a techno-economic perspective for the Indonesian government. The result shows that the possible capacity generated by Kuband HTS is sizeable, around 35.51 – 319.26 Gbps. Thus, it is good technical potential for fulfilling the Indonesian government’s enormous capacity demand for broadband access. Then, from an economic aspect the NPV of the investment is 32.2 million USD, IRR shows 15.71% greater than MARR of 15%. Then, the payback period reached by this project is estimated 8 years 6 months with the profitability index of this project is 1.03. Therefore, the economic analysis result concludes that it can be categorized as a feasible Indonesia project initiative.