Investment Decision-Making to Select Converted Electric Motorcycle Tests in Indonesia

Abstract

The issue of carbon emissions can be addressed through environmentally friendly technological innovations, which contribute to the journey towards achieving net-zero emissions (NZE). The electrification of transportation by converting internal combustion engine (ICE) motorcycles to converted electric motorcycles (CEM) directly reduces the number of pollution sources from fossil-powered motors. In Indonesia, numerous government regulations support the commercialization of the CEM system, including the requirement for conversion workshops to be formal entities in the CEM process. Every CEM must pass a test to ensure its safety and suitability. Currently, the CEM testing process is conducted at only one location, making it inefficient and inaccessible. Therefore, most conversion workshops in Indonesia need to take investment steps in procuring CEM-type test tools. This research aims to determine the best alternative from several investment alternatives for CEM-type test tools. In selecting the investment, three criteria are considered: costs, operations, and specifications. By using the investment decision-making model, a hierarchical decision-making model is obtained, which is then processed using the analytical hierarchy process (AHP) and the technique for order of preference by similarity to the ideal solution (TOPSIS). Criteria are weighted to establish a priority order. The final step involves ranking the alternatives and selecting Investment 2 (INV2) as the best investment tool with a relative closeness value of 0.6279. Investment 2 has the shortest time process (40 min), the lowest electricity requirement, and the smallest dimensions. This research aims to provide recommendations for the best investment alternatives that can be purchased by the conversion workshops.