NKEA: EPP 5
NATIONAL KEY ECONOMIC AREAS
(NKEA)
NATIONAL BIOGAS IMPLEMENTATION
(EPP5)
BIOGAS CAPTURE AND CDM PROJECT
IMPLEMENTATION FOR PALM OIL MILLS
Updated: 1 January 2013
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CONTENTS
Page
1.0 Introduction
1.1 Purpose 1
1.2 National Key Economic Area (NKEA) 1
1.3 NKEA: Palm Oil 2
2.0 EPP 5: Build Biogas Facilities At Mills Across Malaysia
2.1 Biogas as Potential Renewable Energy (RE): Why Embark on Biogas Capture?
3
2.2 Benefits of Biogas Capture 3
2.3 How to Capture Biogas? 4
2.4 Comparison of Biogas Capture Technologies 5
2.5 Total Potential of Biogas from POME 6
2.6 Utilization of Biogas Capture 7
2.7 Technical Configurations of Biogas Utilization in Palm Oil
Mills 7
2.8 Option for Utilization 7
2.8.1 Combined Heat and Power (CHP) 7
2.8.2 Steam Generation 9
2.8.3 Electricity Generation 11
2.8.4 Downstream Business Activities 13
2.8.4 Other Potential Applications 18
2.9 Incentives for Renewable Energy (RE) 21
2.10 Technology Providers for Biogas Implementation 23
2.11 List of Sustainable Palm Oil Mills 25
3.0
Clean Development Mechanisms (CDM)
27
3.1 Benefits of CDM projects 27
3.2 Estimated CER from Biogas CDM Project 28
3.3 National project CDM criteria 28
3.4 List of CDM Consultants in Malaysia 30
Disclaimer: Information contained herein is given in good faith to assist the oil palm industry in considering and evaluating
biogas projects. Readers are advised to check to confirm facts, figures and other information contained herein
and seek independent professional advice. We welcome any feedback to constantly improve this booklet.
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1.0 INTRODUCTION
1.1 Purpose The purpose of this document is:
To encourage palm oil mills in Malaysia to implement biogas trapping and
utilisation; and
To inform palm oil millers on the benefits of biogas trapping and provide the
relevant information to facilitate planning and implementation.
The importance of biogas trapping is evident from its inclusion as one of the eight Entry
Point Projects (EPPs) of the palm oil National Key Economic Area (NKEA).
1.2 National Key Economic Areas (NKEA) Malaysia is to focus on 12 NKEAs to boost the economy and achieve a high income
status by 2020. These 12 NKEAs are the core of the Economic Transformation
Programme (ETP) and will receive prioritised government support including funding,
top talent and Prime Ministerial attention. In addition, policy reforms such as the
removal of barriers to competition and market liberalisation will be carried out if
required. There will be dedicated attention from the Prime Minister and fast-track
mechanisms to resolve disputes or bottlenecks in implementing the NKEAs.
1.3 NKEA: Palm Oil
National Key Economic Area (NKEA)
Economic Sectors Oil, gas and energy
Palm oil
Financial services
Wholesale and retail
Tourism
Information and communication
technology
Education
Electrical and electronics
Business services
Private healthcare
Agriculture
Greater Kuala Lumpur
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1.3 NKEA: Palm Oil
Malaysia’s palm oil industry is one of the largest contributors to the national economy.
In 2009, it accounted for RM53 billion in Gross National Income (GNI). This GNI is
targeted to increase by RM125 billion to reach RM178 billion by 2020. As a major
contributor to economic growth, the Palm Oil NKEA programme plans to implement
eight core Entry Point Projects (EPPs) spanning the palm oil value chain. The palm oil
EPPs are as follows;
Palm Oil NKEA Programme
Upstream
productivity
and
sustainability
EPP 1 Accelerated replanting to clear backlog of old,
low yielding palms
EPP 2 Increase the national fresh fruit bunch (FFB)
yield
EPP 3 Improve workers’ productivity through the
introduction of innovative techniques in
harvesting
EPP 4 Increase national average oil extraction rate
(OER)
EPP 5 Build biogas facilities at mills across
Malaysia
Downstream
expansion
and
sustainability
EPP 6 Shift Malaysia’s focus towards high value oleo
derivatives
EPP 7 Emphasise early commercialisation of second
generation biofuels
EPP 8 Expedite growth in food & health-based
downstream segment
EPPs No. 5 aims to achieve the installation of biogas facilities in all palm oil mills in Malaysia by
2020.
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2.0 EPP 5: BUILD BIOGAS FACILITIES
AT MILLS ACROSS MALAYSIA
2.1 Biogas as Potential Renewable Energy (RE): Why embark on biogas capture?
It is important for the palm oil industry to capture biogas from palm oil mill effluent
(POME). The reasons and benefits of biogas capture are many. These include additional
revenues from sale of surplus energy and carbon credits. Furthermore, reducing the
carbon footprint through biogas capture enables competitive market access of palm
products particularly palm biodiesel to environmentally-sensitive markets such as the
European Union and the United States.
2.1.1 Objectives of Biogas Capture To reduce greenhouse gases (GHG) emissions to the atmosphere from POME
To convert POME to renewable energy (biogas) for in-house or peripheral use
(e.g. for gas engine, boiler, etc)
To produce electricity for grid connection
2.1.2 Benefits of Biogas Capture Reduces GHG emissions i.e methane and CO2 which cause global warming
Reduces land use for POME treatment
Generates additional revenue in the palm oil milling process
Eligible for Clean Development Mechanism (CDM) application
The CDM project transforms GHG emission reduction into cash through sale of
carbon credits
Reduces global and local environmental pollution impacts
Reduces dependence on fossil fuel, and enhances fuel diversity and security of
energy supply
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2.3 How to Capture Biogas?
The capturing of biogas from POME has attracted keen interest in the palm oil industry.
This is because of the vast potential of biogas as a clean renewable fuel as well as for the
mitigation of GHG emissions. Biogas projects are eligible for the Clean Development
Mechanism (CDM) scheme under the Kyoto Protocol, United Nation Framework
Convention on Climate Change. Registered projects will qualify for certified emission
reductions (CER) or carbon credits.
Capturing of biogas from POME can be carried out using a number of various local or
foreign technologies. The closed-tank anaerobic digester system with continuous
stirred-tank reactor (CSTR), the methane fermentation system employing special
microorganisms and the reversible flow anaerobic baffled reactor (RABR) system are
among the technologies offered by the technology providers.
Ponding system for palm oil mill effluent (POME) treatment and covered lagoon technology
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2.4 Comparison of Biogas Capture Technologies
Several systems to generate biogas from POME have been developed using both local
and foreign technology. The technologies are summarised as follows:
Name of
technology provider
System
Life term (years)
HRT
(days)
Effluent from the
digester tank
Volume of
biogas generated
BOD (mg/L)
COD (mg/L)
Keck Seng
Continuous stirred tank reactor (CSTR)
⩾20
18
250-500
8000-12,000
~0.35 Nm3/kg of COD
Majurutera
Complete stirred tank reactor (CSTR)
10
-
-
-
20 m3/tonne of POME
Biogas Environment Engineering (BEE)
High efficiency methane fermentation system
20-25
9
50-270
1400-2500
>26-30 m3/ tonne of POME
SIRIM (pilot scale)
Reversible flow anaerobic baffled reactor (RABR)
⩾20
10-15
-
6000
0.23 Nm3/kg of COD
UPM-FELDA-Kyushu Institute of Technology
Semi-commercial closed anaerobic digester
25
10
-
2000
20 m3/tonne of POME
Ronser Bio-Tech and Shanghai-Jiaotong University zero-discharge treatment technology
AnaEG (Combination of UASB and EGSB technologies)
⩾20
9
800-1000
2000-2800
> 0.5 Nm3 /kg of COD
Biotec Asia International Sdn Bhd
Covered lagoon biodigester
- 22 - - 23 m3/tonne of POME
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2.5 Total Potential of Biogas from POME
The estimated potential energy generated from biogas in Malaysia is 1.88 million MWhr
of electricity which is equivalent to 261 MW of the potential power based on 21%
efficiency in a steam plant (based on yield of FFB in 2009).
Material Production Rate Quantity
FFB (mil. tonnes) 85.71
Effluent 67% of EFB 57.42 million tonne
= 57.42 million m3
Biogas 28 m3 m-3 1607.76 million m3
Biogas CV at 35°C
Total heat value
20 MJ m-3
1607.76 x 20 million MJ
= 32155.2 million MJ
32155.2 million MJ
8.93 million MWhr
*1MWhr = 1 MJ/3600
Power Output 21% of heat output 8.93 million MWhr x
21%
= 1.88 million MWhr
Power plant size Plant operates 300 days year-1
= 7200 hr year-1
1 880 000 / 7200
= 261.11 MW
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2.6 Utilization of Biogas Biogas can be used for various applications in place of natural gas. Since most boilers do
not require high quality gas specifications, the use of biogas in boilers is most
encouraged and has been increasing rapidly. Stationary engines of pumps, generators
and power tools are also a popular option for the utilization biogas. In vehicle fuel,
upgrading of the biogas quality is necessary. Upgrading the biogas includes the
reduction of H2S and CO2. Connecting the electricity generated to the national electricity
grid is another profitable way of utilizing the biogas, which is in tune with the target set
in the Malaysian Fifth Fuel Policy of achieving 5% of national grid-connected electricity
generation from renewable sources.
2.7 Technical Configurations of Biogas Utilization in Palm Oil
Mills There are various ways of utilizing POME biogas in palm oil mills. With the proper
technical configuration and system, biogas generated from the POME can be converted
into useful energy either for heat, electricity or both. The setting up of biogas plants in
palm oil mills would be useful to mills that require additional power for other plants in
the palm oil mill such as the EFB fibre plant or kernel crushing plant, as well as for grid-
connection under the Small Renewable Energy Power (SREP) Programme.
The biogas can be also upgraded and stored as a natural gas for utilization in vehicles
used in the palm oil mills. Options of biogas utilization in palm oil mills are briefly
described in the following section.
2.8 Options for Utilization
2.8.1 For Combined Heat and Power (CHP) for production of steam
and electricity (direct thermal and electricity generation) Palm biogas can be co-fired with oil palm biomass in the existing palm oil mill boiler.
Steam produced from this co-firing process is used to generate electricity using the
steam turbine and low pressure steam that leaves the turbine will be used for the
milling process. The boiler will require some modifications especially the feeding part of
the biogas into the boiler chamber. The use of biogas which is an efficient fuel with high
CV will significantly reduce or eliminate the usage of palm shell. The use of mesocarp
fibre may also be reduced. The excess palm biomass, particularly palm shell may be
sold to other industries that require solid fuel for their CHP plant. An example of a CHP
plant is the plant in Ulu Kanchong Palm Oil Mill.
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ULU KANCHONG PALM OIL MILL BIOGAS PLANT FOR CO-FIRING IN
BIOMASS BOILER
Table 1: Economic Analysis of UKPOM Biogas Plant ( based at 250,000 t FFB/ year)
Item Cost
Investment cost (including biogas plant and boiler adaptation)
RM 7,000,000
O& M Cost (including CDM monitoring and verification)
RM 475,000 / year
Revenues (based on the selling of shell @ RM130/t, fibre @ RM30/and CER @ Euro 10/t)
RM 2,100,000 / year
Payback Period 4.3 years
Internal Rate of Return, IRR % (with CDM)
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The biogas plant of Ulu Kanchong Palm Oil Mill (UKPOM) is a collaboration project between the owner Gan Teng Siew Realty Sdn
Bhd (GSTR) and Biotec International Asia Sdn Bhd (807700-A)-
(BIA) as a technology provider. Biotec International, the parent company of BIA was founded in 1984 in Belgium. The Ulu
Kanchong biogas project is BIA’s first biogas plant in South East
Asia. Biotec is an established technology provider with activities in integrated organic matter management and environmental solutions
for tropical agro-industrial effluent. The scope of business and R&D
activities include effluent treatment, biogas capture, energy use and consultation for Clean Development Mechanism based projects.
Biotec started construction of the biogas plant for UKPOM in 2009. The plant was built using covered lagoon technology (Figure 1)
commissioned in February 2010 and started its commercial
operation since June 2010. The plant consists of three main systems, palm oil mill effluent (POME) cooling system; biodigester system
which is based on Biotec Covered Lagoon technology and biogas
utilization system. The plant was designed to cater for POME produced from the processing of 350,000 tonnes fresh fruit bunches
(FFB) or equivalent to 280,000 tonnes of POME/year. The general
technical description of the plant is illustrated and summarized in Figure 2.
Technical Configuration and Performance of the System
Bio-digester system
A covered lagoon type of anaerobic biodigester was installed at the
mill with the objectives to reduce the investment cost and ease the
operation procedure. The lagoons are sealed at their bottom with a waterproof liner (geomembrane). The plant is also equipped with
mixing and sludge purging systems to ensure that the POME is
evenly distributed, mixed and discharged. The top geomembrane captures and stores the biogas generated during the anaerobic
digestion of POME.
The system offers an efficient operation, a larger gas storage and less maintenance and operation costs. The COD removal of the
system is approximately at 90% efficiency and treated effluent of the
biogas plant is sent to the existing open lagoon system for further degradation and polishing, with the final discharge registering BOD
of 40 to 80 ppm. Average biogas production from the system is 25
Nm3 (or 15 Nm3 of methane) for every tonne FFB processed. Five percent purged sludge from the anaerobic digester can be transferred
and used as fertiliser after a sufficient retention time.
Biogas Utilization System – Co firing and Flaring
Biogas produced is channelled and co-fired with palm biomass in the boiler using three units of burners. This direct and low cost
investment of biogas utilization reduces the use of oil palm biomass
in particular palm shell. Shell displacement is about 2.9% of total FFB processed. Additional income is made via the selling of the
palm shell and fibre.
In terms of environmental impact, the utilization of biogas has improved the boiler’s smoke opacity to less than 20% consistently as
compared to about 40%. In addition, more than 50% reduction of the
dust and particulate concentration in the flue gas emitted from the boiler is achieved. A unit of stainless steel flare was also installed in
order to combust excess biogas especially during the maintenance
period of the boiler and mill.
General Description of the UKPOM Biogas Plant
A joint venture project between GTSR & BIA
Designed capacity for 350,000 TFFB/year with methane production of 5.25 mil Nm3/ year
Capacity of covered lagoon bio-digester : 32,000 m3
Could cater flowrate of POME 1200 m3/day with min. 27 days of hydraulic retention time
90% of methane produced is combusted in the biomass boiler while 10% is flared
3 units of burner with capacity 1000 Nm3/hr installed at the boiler
Max. flow rate of biogas to boiler is 1.800
Nm3/hr
Max. flow rate of biogas to flare is 1.800 Nm3/hr
Average biogas yield : 25 Nm3/tonne FFB
Figure 3: 3 x 1000 m3/hr biogas burner and flaring unit installed at the mill
Figure 1: Covered lagoon biodigester installed at the mill
Figure 2: Process flow diagram of biogas plant
KEY INDICATORS FOR ULU KANCHONG
FFB
350 000 TFF/y
MILL
60 TFF/h
OIL
POME
BIOGAS
BIOLOGICAL ANAEROBIC SLUDGE
TREATED
EFLLUENT
BOILER
Existing lagoons
LAND APPLICATION
280 000 m3/y
22 400 T COD/y 266 000 m3/y
2 240 Ton
COD/y
266 000 m3/y
14 000 m3/y
5 250 000 Nm3 CH4/y
8 750 000 Nm3 biogas /y
35 000 CERs/y
0.80 m3/TFFB
80 kg COD/m3
BIODIGESTOR
21.38 m3 CH4/TFFB
0.12 CERs/TFFB
Approx. 5.0 millions
Nm3 of CH4
Approx. 5 % of
biogas production
per yearFLARE
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2.8.2 Steam generation only (thermal energy generation)
Production of steam using biogas as fuel can be carried out either by firing the biogas
(with or without other fuels) using either high or low pressure boiler. One of efficient
ways to produce heat or steam from biogas is by using a package boiler. As the package
boiler is designed to use natural gas and fuel oil, the utilization of biogas in a package
boiler is considered as a direct and simplest method to produce energy from biogas
without major modifications required. Biogas can also be co-fired with natural gas and
fuel oil and as such would reduce the consumption of these much more expensive fuels.
The existing boiler at palm oil mills may also be used to generate steam with co-firing
approach but again some modifications are required. An example of the use of biogas in
package boilers is Keck Seng (M) Sdn. Bhd.
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BIOGAS PLANT OF KECK SENG’S INTEGRATED PALM OIL COMPLEX FOR
STEAM PRODUCTION & UTILIZATION Keck Seng (Malaysia) Berhad, (KS) operates an integrated palm oil mill complex located in Masai, Johor. The complex consists of a palm
oil mill, kernel crushing plant, palm oil refinery and other plants for downstream activities (Figure 1). Due to highly energy demand mainly
from refinery processing and a vision to maximize the use of in-house renewable energy sources, KS has installed and operates a biogas
plant to cater for the energy requirement of the whole complex.
An anaerobic digester system was designed, built and commissioned in 1984 for the treatment of high-strength palm oil mill effluent
(POME). The total tank capacity of the biogas plant is 10, 400 m3 with 2 floating and 2 fixed roof tanks (Figure 2 and 3). The flowrate of
each plant is 500 m3/day. The biogas generated is used as fuel for boilers and chillers for the refinery. After years of successful operation,
KS licensed its unique anaerobic digester system for biogas generation and capture to Novaviro Technology Sdn Bhd, to commercialise the
system.
Technical Configuration & Economic Analysis of Biogas Utilization
Average yield of biogas generated from the system is 28 m3/tonne
POME
Biogas generated is used as fuel for boilers and vapour absorption
chillers of the refinery.
Diesel displacement of high pressure boiler (Figure 4) about 4000
l/day and MFO saving for package steam boiler (Figure 5) of 2500
l/day.
Displacement of electrically powered chillers by biogas –operated
vapour absorption chillers. Significant saving in electricity consumption from 700 kW to 23.50kW only.
Saving made from diesel and MFO.
Saving made from the displacement of electrical powered chillers
(annual consumption of 3, 850, 000Wh / year )
GHG saving
Figure 2: Floating top closed anaerobic digester at KS Figure 1: Keck Seng (M) Bhd – integrated palm oil complex
Figure 4 : Geka boilers – heating capacity 1.23 MW/h at 70 barg
and 320C
Figure 5: Mechmar boiler-steaming capacity 20 000 lb/hr at 150psi Figure 3: Design specification of anaerobic digestion of Keck Seng
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Figure 4: High pressure boiler
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2.8.3 Electricity generation
An internal combustion engine such as a gas engine or a diesel engine can be coupled to
an alternator to use biogas for electricity generation. Generating electricity using a gas
engine is proven with thermal efficiency ranging from 35 to 42%. The electricity may be
for internal uses or grid connection. The biogas can also be used in a diesel genset and
this may reduce the diesel consumption up to 70%. However, this approach requires
some engine modification including to the feeding parts, air intake device and fuel
setting. An example of power generation for internal use is the Tee Teh Palm Oil Mill,
Rompin, Pahang.
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Biogas Environmental Engineering Sdn. Bhd. (BEE) High Efficient
Methane Fermentation System for Electricity Generation
Parameter Performance
characteristics
Raw effluent
COD (ppm)
BOD (ppm)
Discharge after digester tank
COD (ppm)
BOD (ppm)
44 000 - 83 000
14 000 - 34 000
1400 - 2500
50 - 270
Composition of biogas
Methane (%)
Carbon dioxide (%)
Hydrogen sulphide (ppm)
56 - 64
35 - 41
217 - 1418
Volume of biogas (m3 m-3
POME)
26.6 – 30.0
Biogas Environmental Engineering Sdn. Bhd. (BEE) is a company engaged and specialized in research, engineering design,
construction and management of methane renewable energy development and environmental protection. The company’s core
business is utilization of anaerobic digestion technology to process industrial organic waste water from food and beverage
industries, concentrated animal farm operations and palm oil mills.
A biogas harnessing system developed in collaboration between Biogas Environmental Engineering Sdn. Bhd. (BEE) and
Malaysian Palm Oil Board (MPOB) has been installed, and is currently in operation at Tee Teh Palm Oil Mill, Rompin,
Pahang (Figure 1). The biogas harnessing system is a highly efficient methane fermentation system using the USR employing
specialty microorganisms. The biogas system consists of a cooling pond, two acidification ponds, a concrete-steel digester tank
or an enameled assembly tank, a biogas floating storage tank and a discharging pond (Scheme 1). Evaluation/monitoring of the
biogas system performance over a year with sampling of 42 sets of wastewater showed that the system is technically mature,
and is highly efficient, with a COD/BOD removal rate of 90-95% and a biogas production rate of 27-30 m3 per m3 of POME
(Table 1).
Biogas Utilization-Electricity Generation
The biogas captured is led through the biogas piping system from the top of the anaerobic digester tank to the biogas storage tank.
The gas is first run through the splitter of gas and water to
remove the condensate water, and then directed to the gas engine for electricity generation after desulfurization. The combustion
chamber of the gas generator installed at Tee Teh Palm Oil Mill (Figure 2) showed evidence of having been in operation for >
10000 h without any damage. The gas generator is in 24 h
operation and the electricity generated is supplied to the workers’ quarters of the mill.
Economic Analysis
The investment cost for the installation of the biogas trapping facility is estimated to be RM 4-6 million, depending on the
capacity of the palm oil mill. A payback period of 2-4 years can be
achieved with revenues from on-grid electricity generation amounting to 1-1.5 MW, sale of saved palm fibre and shell,
biofertilizer production, and savings from reduced diesel
consumption.
Figure 2: Condition of the combustion chamber of a gas
generator using biogas for > 10000 h
Figure 1: Biogas storage tank and high efficient methane
fermentation system
Scheme 1: Biogas system for POME
Technical Characteristics
Table 1: Performance characteristic of the biogas system
1) Life span of materials used i.e. steel concrete or enamel tank is more than 30 years;
2) High loading factor 6~8 kg COD/m3d, thus implies: a. Shorter HRT compared to other systems (CSTR system, COD
loading factor 3~4 kg COD/m3d); b. Smaller volume of digester tank is required to treat POME,
and hence a lower construction cost. 3) COD, BOD reduction rate of 90%~95% (assessment by MPOB) 4) The quality of biogas produced is good:
H2S content: 217 - 1418 ppm - Other systems has higher H2S CH4 content > 60% Water content is low
5) The system, with less moving parts, is easier to operate at a stable level; reinforced concrete steel or enamel sheet are better erosion-resisting materials, thus very much lowers the maintenance cost.
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2.8.4 Downstream Business Activities Electricity generated from the biogas based power plant can be utilized internally, especially for the downstream business activities in a palm oil mill. Among the downstream activities that could utilize the electricity from the biogas plant include empty fruit bunch (EFB) treatment plant for the production of boiler fuel and dry long fibre, kernel crushing plant, briquette and pellet plants. These downstream business activities are summarized below.
a) EFB Treatment Plant for the Production of Boiler Fuel and Dry Long Fibre
EFB is the biggest underutilized solid biomass generated from the palm oil mills. Owing
to its physical characteristics and high moisture content of 65-70%, the EFB has to be
pre-treated to reduce its bulkiness and moisture content, for it to be utilized either as
fuel or as a feedstock for value added products. This pretreatment requires energy.
Electricity generated from the palm biogas would be a green source of energy which can
be tapped to exploit this business opportunity.
The pretreatment system of EFB involves a series of machineries and processes
(Figure 1). Depending on the technology providers and usage, the typical, basic
pretreatment system for EFB comprises a screw press or shredder (or combination of
both) followed by hammer mill. This produces EFB fibre with moisture content and
length about 40 to 50% and 4 inches respectively which is ready to be used as boiler
fuel (Figure 2). This process requires about 150–200 kWh of electricity to produce 1
tonne of EFB fibre. In some palm oil mills, EFB fibre is mixed with mesocarp fibre and
burned in the boiler. This approach will displace some of the palm shells (which has
better price) which can be sold as solid fuel to other nearby industries. EFB fibre with
these specifications can also be sold as boiler fuel for palm biomass based power plants
and for biocomposting application.
Figure 1: Process flow of the production of boiler fuel and dry long fibre from empty fruit bunch
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Raw EFB
Processed EFB Fibre
Hammer mill Press cum shredder
Dryer & Screener Baling Machine
Bailed Dry Long
Fibre Boiler Fuel
EFB Juice
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Additional equipment such as dryer and baling machine are required to produce
dry long fibre (DLF) (Figure 2). DLF is sold in the baled form and its commercial
specifications are summarized in Table 1. Most of the local produced DLF are for
overseas markets, especially for China market. DLF is mainly used as raw materials for
the production of mattress, cushion and soil erosion mat. The trading price of DFL
varies from RM500–600/ tonne. Due to extensive process, the electricity requirement of
DLF is estimated at 250-300 kWh per tonne.
Table 1: Typical specification of EFB dry long fibre
Parameter Specification
Fibre length 3”–10” (average : 4”)
Moisture content (%) 15-18
Baled fibre 90–100 kg / bale, size : 20” H x 20”W x 33”L
Figure 2: Baled dry long fibre and strand fibre of processed EFB
b) Production of Palm biomass Briquette and Pellet
Processed fibre produced from the EFB treatment plant can be further treated and used
as feedstocks to produce high quality solid fuels such as briquette and pellet. With the
excess electricity generated from the biogas plant, the EFB treatment plant could be
integrated with a briquette or pellet plant in a palm oil mill. The EFB pretreatment plant
needs to be equipped with the additional equipment such as a dryer, pulverizer and
screener in order to produce EFB fibre with moisture and size of less than 20% and 1
cm respectively (Figure 3).
Briquettes and pellets (Figure 5) are made via a densification process.
Densification is the process of compacting the biomass residue into a uniform solid fuel.
Both products have higher density and energy content as well as less moisture
compared to its raw materials. Briquetting or pelletizing of palm biomass, especially
EFB can be done using various techniques, either with or without addition of a binder.
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These processes are among ways to improve the behaviour of fuel because it increases
the homogenity and facilitate the logistics and storage of the fuel.
Depending of technology used, a briquette or pellet plant requires about 200-
300 kWh for every one tonne of briquette or pellet produced from EFB. Higher
electricity consumption is required for pretreatment of the EFB to produce the
feedstock for the briquetting and pelletizing process. A comparison of the potential
annual production of DLF and palm solid biofuel in a palm oil mill is summarized in
Table 2. Both DLF and palm solid biofuel production can be combined in a single
production line as shown in Figure 4. The mass ratio of DLF to solid fuel from this
approach is 70:30.
Figure 3: Process flow diagram for the production of palm biomass briquettes or pellets
Figure 4: Integrated production of DLF and solid fuel in a palm oil mill
In general, both briquettes and pellets are in the form of cylindrical logs. The
main differences between these products are their size and specific density. Palm
pellets and briquettes are potential alternatives to fossil fuels especially for combined
heat and power plants (CHP). Since the objective of densification is to ease the
transportation and handling of palm biomass, palm briquettes and pellets will be
suitable for export.
EFB pre-treatment
plant
Briquetting /
pelletizing
RAW EFB
Palm-based
briquettes / pellet
EFB juice
Size
screening
Packaging
EFB
fibre Treated
EFB
EFB pre-treatment
plant + Dryer Baling
machine
RAW EFB
Palm-based
briquettes / pellet
EFB juice
Size
screening
Pulverizer
Long fibre > 2’ Treated
EFB
Short fibre < 1’
Briquette / pellet
machine
Dry Long fibre
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Besides that, because of the superior quality of these biomass fuels compared to
the raw material, they are also potential feedstocks for the production of second-
generation biofuel, especially for thermochemical based energy conversion technologies
such as pyrolysis, gasification and biomass-to-liquid (BTL) processes.
Table 2: Estimated annual production of DLF and palm biomass solid fuel in a 60 t/hr palm
oil mill
Raw material Dry Long Fibre Pellet/ Briquette Combined Plant
Fresh fruit bunches (FFB) processed annually (tonnes)
288,000 288,000 288,000
Annual raw EFB produced (at 23% of FFB, 65% moisture content, MC) (tonnes)
66,240 66,240 66,240
Treated EFB (TEFB) (tonnes)
33,120 (at 15% MC)
29,808 (at 10% MC)
33,120
Potential annual production (tonnes)
23,184 (70% of TEFB)
26,827 (90% of TEFB)
23,184 (DLF) 6,624 (solid fuel)
Annual Sale, RM (million) 9.27 (at RM400/tonne)
8.0 (at RM300/ tonne)
11.26
Proposed plant capacity (tonnes/hr)
5 5 5 (DLF) + 1
Electrical requirement for the proposed plant, MW
1.25 (at 250 kWh/tonne)
1.25 (at 250 kWh/tonne)
1.25
Potential biogas from 60 tonnes /hr mill, MW
1.85 1.85 1.85
Figure 5: Oil palm biomass briquettes and pellets as solid fuels
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c) Palm Kernel Crushing Plant (KCP)
Palm kernel crushing plants are normally located at locations away from the palm oil
mills. If this can be shifted to the palm oil mill itself, then the energy from biogas may be
used to operate the kernel crushing plant. Palm kernel (Figure 6) produced from the
palm oil mill can be processed in-situ to produce crude palm kernel oil (CPKO) and palm
kernel cake (PKC). There are three types of CPKO extraction process in the country, via
mechanical extraction (screw press), direct solvent extraction, and pre-pressing
followed by solvent extraction. Mechanical extraction (Figure 7) using a screw press is
the most common approach in the country and can be integrated into palm oil mills.
The typical KCP consists of the kernel reception, kernel storage, press station,
CPKO station and PKC storage. The process of CPKO extraction requires about 90–100
kWh of electricity/tonne palm kernel. Electricity consumption is a main contributor to
the operation cost of a commercial KCP. Therefore, setting up the KCP in the palm oil
mill utilizing the electricity from the biogas plant will save a lot on its operational cost.
On average, the kernel is 6% of the FFB processed. For a 60 t/hr palm oil mill, 3.6
tonnes of palm kernel is produced hourly. Based on 24 hours of processing time, a 100
t/day capacity KCP can be installed in the palm oil mill to process their internal palm
kernels from the mill.
Figure 6: Palm kernel Figure 7: Mechanical pressing at kernel
crushing plant
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2.8.5 Other potential applications
Biogas generated from POME can also be upgraded and used for other potential
applications especially for external usages include the following:
Use as a compressed natural gas (CNG) which can be an alternative for natural
gas vehicles (NGV). This CNG can be used as alternative fuel for vehicles used in
palm oil mills such as forklift, lorry etc
Feeding into natural gas (NG) pipeline or bottling and transporting for industrial
use
For other operational units that require energy such as vapour absorption
chiller, hot water and hot air production; biodiesel plant, EFB fibre plant and
kernel crushing plant
For future 2nd generation biofuel projects such as production of hydrogen,
biomethane etc
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Economic Analysis of Biogas Utilization (based on 60 t/hr palm oil mill)
Type of biogas utilization : Co firing Technology
Digester Tank Covered Lagoon
Investment cost + Burner (CAPEX), RM
(million)
8.0 7.0
Shell displacement, tonne / yr (at 80%
of total shell produced)
13,824
@ RM150/tonne of shell, RM
(million/yr)
2.07
OPEX @ 2% of CAPEX RM (million/yr) 0.2 0.14
Net profit, RM (million/yr) 1.87 1.93
Payback period, yrs 4.3 3.6
IRR % 23.34 27.57
Type of biogas utilization : on-grid electricity
Potential power output, MW 1.8 1.8
Annual potential electricity, kWh/ yr
(70% utilization rate for 7200 hrs/ yr)
9,072,000
Annual potential of electricity sales, RM
(million /year)
2.90 (@ RM0.32/kWh)
3.16 (@ RM0.35/kWh)
Total investment, CAPEX : (at RM10
million/ MW for digester tank, RM8
million/ MW for covered lagoon)
18.0 14.4
OPEX @ 4% of CAPEX, RM (million /
year)
0.72 0.58
Annual profit, RM (million/ year) 2.18 (@ RM0.32/kWh)
2.44 (@ RM0.35/kWh)
2.32 (@
RM0.32/kWh)
2.58 (@
RM0.35/kWh)
Payback period, years 8.3 (@ RM0.32/kWh)
7.4 (@ RM0.35/kWh)
6.2 (@
RM0.32/kWh)
5.6(@ RM0.35/kWh)
IRR, % 12.1 (@ RM0.32/kWh)
13.6 (@ RM0.35/kWh)
16.1 (@
RM0.32/kWh)
18.0 (@
RM0.35/kWh)
*The investment cost or payback period of the project will be reduced if any tax exemption or
rebate incentive is applied in the project cost or annual business revenue and expenditure.
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Flow Chart for Applying Connection to Utility’s Distribution System
21
20
RE Developer to provide commitment fee* for Utility
System Study
RE Developer negotiates and signs REPA with utility
RE Developer commits to design and construct the interconnection Facilities
& System Reinforcement (if any) in accordance to Utility System Study
Commitment fee refundable to RE Developer upon off-take of power
RM 15,000 for capacity < 3 MW RM 25,000 for capacity from 3 – 10 MW
Developer & Utility to submit monthly report on progress of negotiation to SREP Centre
RE Developer to present finalized plant design & approval from
Utility for Interconnection Facilities design
RE Developer to remit payments to Utility for all necessary System
Reinforcement Work
RE Developer to start construction of proposed plant and
Interconnection Facilities
RE Developer/utility to perform necessary work to reinforce
system
RE Developer to submit protection coordination studies/setting,
testing & commissioning schedule
Final verification of design, testing and commissioning,
O & M procedure
Connection to distribution Grid
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2.9 Incentives for Renewable Energy (RE) Commercial and industrial business entities which are involved in the energy business
using renewable energy (RE) resources for generation of electric power eligible to apply
for fiscal incentives.
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2.9.1 The Green Technology Financing Scheme (GTFS) he Green
Technology Fin
In the budget speech for 2010, the Prime Minister of Malaysia announced the establishment of Green Technology Financing Scheme (GTFS) amounting to RM1.5 billion as an effort to improve the supply and utilization of Green Technology. The scheme could benefit companies who are producers and users of green technology. As a sign of commitment, the Government will bear 2% of the total interest/profit rate. In addition, the Government will provide a guarantee of 60% on the financing amount via Credit Guarantee Corporation Malaysia Berhad (CGC), with the remaining 40% financing risk to be borne by participating financial institutions (PFIs). The Prime Minister also appointed GreenTech Malaysia as the conduit for the GTFS application.
The GTFS exists to help incorporating green technology elements in specific project related to the identified sectors. These projects must be located within Malaysia, utilising local and/or imported technology. Private companies that could benefit from this financing scheme are producer or user of green technology products or systems. GTFS for producer or user category shall be as follows:
Features Producer of Green Technology User of Green Technology
Financing size Maximum: RM50 million per company
Maximum: RM10 million per company
Financing tenure Up to 15 years Up to 10 years
Eligibility criteria Legally registered Malaysian -owned companies (at least 51%) in all economic sectors
Legally registered Malaysian -owned companies (at least 70%) in all economic sectors
Participating financial institutions (PFIs)
All commercial and Islamic banks. GFIs: Bank Pembangunan, SME bank, Agrobank, Bank Rakyat, EXIM bank and Bank Simpanan Nasional (Listing of commercial banks and Islamic banks from Bank Negara Malaysia website.)
This scheme is only applicable for new project and retrofitting or expansion that incorporates Green Technology elements which have not been funded and partly funded. The GTFS is not for projects that already started or completed.
Source: http://www.gtfs.my/
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2.10 Technology Providers for Biogas Implementation
Company Address Contact
Biogas Environmental Engineering Sdn. Bhd.
28-3, Jalan 1/116B Sri Desa Entrepreneurs Park Odd Kuchai Lama, 58200 Kuala Lumpur
Tel : +603-7984 2422 Fax : +603-7984 2896
Ronser Bio-Tech Sdn. Bhd.
C708, Metropolitan Square, Jalan PJU 8/1, Bandar Damansara Perdana, 47820 Petaling Jaya, Selangor
Tel : +603-7728 8999 Fax : +603-7725 3300
Sirim Bhd. (Environment and Bioprocess Technology Centre)
1, Persiaran Dato’ Menteri Section 2, P.O. Box 7035 40911 Shah Alam, Selangor
Tel : +603-5544 6552/6556 Fax : +603-5544 6590
Custom-Craft Sdn. Bhd.
No.5, Jln Kipas 34/9 Bukit Kemuning, Light Ind. Park, Seksyen 34, Shah Alam, 40000 Selangor
Tel : +603-5880 7611 Fax : +603-5880 7616
Varec Biogas 29-A, Jalan Kenari 1/7E, Bandar Puchong Jaya, Puchong, 47100 Selangor
Tel : +603-8076 5778 Fax : +603-8076 5773
Q2 Engineering Sdn. Bhd.
Unit 8-01, Block E, Phileo Damansara 1, No. 9, Jalan 16/11, Off Jalan Damansara, 46350, Petaling Jaya, Selangor
Tel : +603-7665 3788 Fax : +603-7665 3799
CST Engineering Sdn. Bhd.
8 Jalan Pendidik U/31, Hicom Glenmarie Industrial Park, 40000 Shah Alam, Selangor
Tel : +603-5569 5514 Fax : +603-5569 5529
Kim Loong Resources Berhad
Unit No. 203, 2nd Floor, Block C, Damansara Intan, No. 1, Jalan SS 20/27, 47400 Petaling Jaya, Selangor
Tel : +603-7118 2688 Fax : +603-7118 2693
BELL Group of Companies No. 125, Jalan SS15/5A, 47500 Subang Jaya, Selangor
Tel : +603-5634 3888 Fax : +603-5634 0723
Biodome Asia Sdn. Bhd. No. 123, Jalan SS 15/5A, 47500 Subang Jaya, Selangor
Tel : +603-5880 6704
Choon Hin Environmental Sdn. Bhd.
No. 6-10, Jalan Jati, 86000 Kluang, Johor
Tel :+6012-602999 Fax : +607-773 7626
Global Strategic Sdn. Bhd
No. 5-2 Second Floor, Jalan 3/76D, Desa Pandan, 55100 Pandan, Selangor
Tel : +603-92842030 Fax : +603-92852030
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Green & Smart Sdn. Bhd.
No. 40-2, Jalan Tun Sambanthan 3, Brickfields, 50470 Kuala Lumpur
Tel : +603- 2260 1477 Fax : +603-2260 1478
Konzen Clean Energy Sdn Bhd
Unit D2-5-1, Block D2 Dana 1 Commercial Centre, Jalan PJU 1A/46, 47301, Petaling Jaya, Selangor Darul Ehsan
Tel : +603 - 7845 8987 Fax : +603 - 7845 8387
Majurutera Engineering & Management Sdn Bhd
C1-11 1st Floor Dataran Ara Damansara, Jalan PJU 1A/20B, 47301, Petaling Jaya, Selangor
Tel : +603-7846 8509 Fax : +603-7842 2376
Weidasar Engineering (M) Sdn Bhd
Lot 3.05, Level 3,1, First Avenue, Bandar Utama, 4780 Petaling Jaya, Selangor Darul Ehsan
Tel: +603-7950 9688 Fax: +603-7842 2376
Anaerobic Digester Biogas Technology Sdn Bhd
No. 123 Jalan SS15/5A, 47500 Subang Jaya, Selangor Darul Ehsan, Malaysia
Tel: +603-5634 8832 Fax: +603-56373679
Biopower Climate Care Sdn. Bhd.
Level 41, Vista Tower, The Intermark 182 Jalan Tun Razak 50400 Kuala Lumpur
Tel:+6 03-2690 1506 Fax:+603-2690 1301
Airofluid Sdn. Bhd. 9, Jalan Sg. Besi Indah 5/2, Taman Sg. Besi Indah, 43300 Seri Kembangan, Selangor
Tel: +603 8942 6688 Fax: +603 8942 119
Green Energy Resources Sdn. Bhd.
3, Sri Wangi 1/5 Taman Sri Perindustrian, 15, Lintang Beringin, 11960 Pulau Pinang
Tel: +607-335 4399
IPalm (Malaysia) Sdn. Bhd. No. 36, Jalan 12/152, Taman Perindustrian OUG, Batu 6, Jalan Puchong, 58200 Kuala Lumpur
Tel: +603-7785 5811 Fax: +603-7784 4822
Kubota Corporation Sime Kubota Sdn. Bhd.
1, Jalan Puchong, Taman Perindustrian Puchong Utama, 47100 Puchong, Selangor
Tel: +603-8068 8558 Fax: +603-8068 8555
Tenaga Tiub Sdn. Bhd.
B-8-8, Block B, 8th Floor, Unit 8, Megan Avenue II, 12 Jalan Yap Kwan Seng, 50450 Kuala Lumpur
Tel: +603-2711 0888 Fax: +603-2711 3688
Sime Darby Plantation Sdn Bhd.
14th Floor, Wisma Consplant I, No. 2, Jalan SS 16/4, 47500 Subang Jaya, Selangor
Tel : +603-5631 7133 Fax : +603-5636 7588
Biotech International Asia Sdn. Bhd
SVP-5, Jalan Cinta Kasih, Country Heights, 43000 Kajang, Selangor
Tel : +603-8737 3700 Fax : +603-8737 3720
Oiltek Novaviro Bioenergy Sdn Bhd
Lot 6, Jalan Pasaran 23/5 Kawasan Miel Phase 10 40300 Shal Alam Selangor D.E., Malaysia
H/P: (+60) 12-2911 022 (Dr. Tong Soo Long)
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2.11 List of Sustainable Palm Oil Mills with Biogas Capturing Facilities
Palm Oil Mill Address Contact
1. Masai Palm Oil Mill Kong Kong Road, P.O.Box 1, 81757 Masai, Johor
Tel : 07-2551111 Fax: 07-2555117
2. Kim Loong Palm Oils Mills
Peti Surat 21, 81900 Kota Tinggi, Johor
Tel : 07-8822388 Fax: 07-8822788
3. Kilang Sawit Maokil Peti Surat 14, 85300 Labis, Johor Tel: 07-9191840
4. Kilang Sawit Serting FELDA Palm Industries SB, 72120 Bandar Baru Jempol, Negeri Sembilan
Tel : 06-4582734 Fax: 06-4581909
5. Kilang Sawit Serting Hilir
Peti Surat 3, 72120 Bandar Baru Jempol, Negeri Sembilan
Tel : 06-4683132 Fax: 06-4684424
6. Foong Lee Sawiminyak Sdn Bhd
179, Main Road, 31100 Sungai Siput (U), Perak
Tel : 05-5982033 Fax: 05-5981862
7. Kilang Kelapa Sawit Jenderata
Jenderata Estate, Div. III, 36009 Teluk Intan, Perak
Tel : 05-6366261 Fax: 05-6366280
8. United International Enterprises (M) Sdn Bhd
Locked Mail Bag No. 1, 34900 Pantai Remis, Perak
Tel : 05-8501500 Fax: 05-8501507
9. Rinwood Pelita (Mukah) Plantation Sdn Bhd
18A, Jalan Lanang, 96000 Sibu, Sarawak
Tel : 084-875922 Fax: 084-334604
10. Desa Kim Loong Palm Oil Sdn Bhd
P.O.Box 156, 89007 Keningau, Sabah
Tel : 019-8825158 Fax: 087-336848
11. Apas Balung Palm Oil Mill
Jalan Kelapa Sawit off Km 4, Jalan Tuaran, 88300 Kota Kinabalu, Sabah
Tel : 089-922314 Fax: 089-951043
12. Arah Kawasan Sdn Bhd
Lot 713, Mukim Sungai Batu, Bandar Baharu, Kedah
Tel : 019-4157711 Fax: 04-5887137
13. Setia Kawan Kilang Kelapa Sawit Sdn Bhd
98A, Jalan Batu Putih, Mukim Padang Cina, 09700 Kulim, Kedah
Tel : 04-4037315 Fax: 04-4036120
14. Sungai Kerang Development Sdn Bhd
Locked Mail Bag 23, 32000 Sitiawan, Perak
Tel : 05-3765541 Fax: 05-3765540
15. Syarikat Cahaya Muda Perak (Oil Mill) Sdn Bhd
Batu 3, Jalan Bidor, P.O.Box 12, 35007 Tapah, Perak
Tel : 05-4011123 Fax: 05-4013608
16. Kilang Kelapa Sawit Saremas 1
P.O.Box 730, 97008 Bintulu, Sarawak
Tel : 085-739014 Fax: 085-740733
17. Kilang Kelapa Sawit Sapi
Locked Bag 34, 90009 Sandakan, Sabah
Tel : 089-670225 Fax: 089-670260
18. Ladang Ulu Basir 35600 Ulu Bernam, Perak Tel : 05-4213151
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Fax: 05-4216552
19. Kilang Sawit PPNJ Kahang
Peti Surat No. 26, 86700 Kahang, Kluang, Johor
Tel : 07-7778202 Fax: 07-7778200
20. Tian Siang Oil Mill (Perak) Sdn Bhd
Lot 2161 & 2162, Jalan Taiping/Beruas Mukim Sg. Tinggi, Larut Matang, 34800, Trong, Perak
Tel : 05-8411512 Fax: 05-8411513
21. TSH Lahad Datu Palm Oil Mill
TB 9, Km 7, Jalan Apas, TSH Industrial Estate, 91000 Tawau, Sabah
Tel : 089-843110 Fax: 089-843111
22. TSH Sabahan Palm Oil Mill
Bangunan TSH, TB 9, Km 7, Jalan Apas, TSH Industrial Estate, 91000 Tawau, Sabah
Tel : 019-8331292 Fax: 089-843121
23. FPISB Kilang Sawit Jengka 8
26400 Bandar Jengka, Pahang Tel : 09-4662559 Fax: 09-4662987
24. Tee Teh Palm Oil Mill
P.O.Box 71, 85007 Segamat, Johor Tel: 07-9370828 Fax: 07-9325243
25. Rompin Palm Oil Mill Sdn Bhd
P.O.Box 58, 26700 Muadzam Shah, Pahang
Tel : 09-4530272 Fax: 09-4526266
26. Ulu Kanchong Palm Oil Mill
Ulu Kanchong Estate, 71209 Rantau, Negeri Sembilan
Tel : 06-6941233 Fax: 06-6942108
27. Rex Palm Oil Mill No. 38, Teck Guan Regency, Jalan St. Patrick Off Jalan Belunu, 91007 Tawau, Sabah
Tel : 089-772277 Fax: 089-769955
28. KKS Sungai Burong P.O.Box 33, 91007 Tawau, Sabah Tel : 089-919832
29. Sungei Kahang Palm Oil Sdn Bhd
P.O.Box No. 10, 98700, Kahang, Johor
Tel : 07-7881512 Fax: 07-7881650
30. RH Plantation Palm Oil Mill
P.O.Box 454, 96007 Sibu, Sarawak
Tel : 084-216155 Fax: 084-215217
31. Johore Labis Palm Oil Mill
Lot 677, Jalan Kilang, 85400 Cha’ah, Johor
Tel : 07-9261204 Fax: 07-9263048
32. Bell Palm Industries Sdn Bhd
P.O.Box 64, 83000 Batu Pahat, Johor
Tel : 07-4186300 017-7995388
33. Kilang Kelapa Sawit Bell Sri Lingga
125, Jalan Ss 15/5A, Subang Jaya, 47500 Selangor
Tel : 06-3876117
34. Wujud Wawasan Sdn Bhd
1101, Block C, Kelana Business Centre, No. 97, Jalan SS 2/7, 47301 Kelana Jaya, Selangor
Tel : 09-4530206 Fax: 09-4530397
35. Kilang Sawit Kemahang
Peti Surat 35, 17507 Tanah Merah, Kelantan
Tel : 09-9771734 Fax: 09-9774001
36. Kilang Sawit Umas Peti Surat 60996, 91019 Tawau, Sabah
Tel: 019-8929610 Fax: 019-8831708
* 36 out of 57 mills with completed biogas plant have responded so far.
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3.0 CLEAN DEVELOPMENT MECHANISM (CDM)
The Clean Development Mechanism (CDM) is a scheme under the Kyoto Protocol,
United Nations Framework Convention on Climate Change (UNFCCC) which helps
developing countries achieve sustainable development through the sale of certified
emission reductions (CER), or carbon credits, to developed and industrialized countries.
The CDM scheme was introduced by Kyoto Protocol;
To stream fund and technology to developing countries so they can meet
sustainable development targets,
To encourage the developed country to invest in carbon emission reduction
projects that meet the Protocol’s target
3.1 Benefits of CDM project in Malaysia
For Malaysia, the CDM is facilitated by Conservation and Environmental Management
Division (CEMD) of the Ministry of Natural Resources and Environment (NRE) as
Designated National Authority (DNA). Malaysia’s DNA and CEMD serve as a secretariat
for evaluation of CDM projects via the establishment of a National Committee on CDM
(NCCDM) and two Technical Committees i.e The Technical Committee on Energy and
The Technical Committee on Forestry. The CDM project activities bring the following
benefits;
Helps developed countries meet their emission reduction targets under the
Kyoto Protocol
Helps the palm oil industry meet increasingly stringent sustainability
requirements.
The CDM project transforms reduction of emission of CO2 and methane into
cash flow
The CDM approval mechanisms are able to create new commodity in the
form of CERs
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3.2 Estimated CER from Biogas CDM Projects
Reduction of 1 tonne of CO2 equivalent generates 1 tonne CER.
Estimated CERs generated for a 60 t/hr mill = 30,000 – 40,000 tonnes CO2 eq
Estimated revenue generated for each mill = RM1.5 million per year
(based on €10/tCO2e) (for 21 years)
Mills are advised to consult an established and reliable CDM consultant to assist in CDM
applications.
3.3 National project CDM criteria
Criterion 1 Project must support the sustainable development policies of
Malaysia and bring direct benefits towards achieving sustainable
development
Criterion 2 Project implementation must involve participation of Annex I
party/Parties as CER buyer. In addition they are encouraged to
participate as equity or technology provider
Criterion 3 Project must provide technology transfer benefits and/or
improvement of technology, including enhancement of local
technology
Criterion 4 Project must fulfil all conditions underlined by the CDM Executive
Board as follow;-
i. Voluntary participant
ii. Real, measurable and long-term benefits related to
mitigation of climate change; and
iii. Reductions in emissions that are additional to any that
would occur in the absence of the certified project activity
Criterion 5 Project proponent should justify the ability to implement the
proposed CDM project activity
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CDM PROJECT CYCLE
Develop a project activity
Approval by the Host and
Investing Party
Validation and
registration of the CDM
project activity
Monitoring of the CDM
project
Verification, certification
and issuance of CERs
Distribution of CERS
CDM project participants (PPs) develop a CDM project activity.
Consider various conditions associated with developing a CDM project
activity from the project planning stage.
Draft a Project Design Document (CDM-PDD) with all required elements.
Project participants obtain written approval of voluntary participation from
the Designated National Authority (DNA) of each Party involved regarding
the project activity that project participants wish to implement as a CDM
project activity.
Validation is the process of independent evaluation of a project activity
carried out by designated operational entity (DOE).
Registration is the formal acceptance of a validated project as CDM project
activity. Registration process is done by the CDM executive board (EB).
PPs collect and archive all relevant data necessary for calculating GHG
emission reductions by the CDM project activity, in accordance with the
monitoring plan written in PDD.
Project participant report to the DOE the results of monitoring of the CDM
project activity and calculated emission reductions based on the results of
monitoring activity.
DOE verifies the results of monitoring and the resulting emission
reductions.
DOE certifies the emission reductions based on the results of verification
The EB issues CERs equal to the verified amount of GHG emission
reductions.
CERs can be issued for emission reductions by a project activity. The
issues of CERs in accordance to with the distribution agreement.
2% of the CERs will be deducted as the share of proceeds to assist developing
country Parties that are particularly vulnerable to the adverse effects of
climate change.
CERs will be distributed among PPs.
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3.4 List of CDM Consultants in Malaysia
CDM Consultant Company Contact
1
Ilango S. Bharathi.
YTL SV Carbon Sdn Bhd Level 4 Annex Block Lot 10 Shopping Centre 50, Jalan Sultan Ismail 50250 Kuala Lumpur
Tel : 03-21447200 Fax: 03-21447573 H/P: 017-2026456 [email protected]
2 Dr. B.G. Yeoh
EcoSecurities Malaysia Sdn Bhd Mid Valley City No. 1, Medan Syed Putra Utara 59200 Kuala Lumpur
Tel : 03-22820612/32 Fax: 03-22820652 H/P:012-3112289 [email protected]
3 Bhavna Khandhar Perenia Carbon Unit 509 Block B Phileo Damansara II Jalan Section 16 46350 Petaling Jaya Selangor
Tel : 03-79505521 Fax: 03-79552110 H/P: 0122039240 [email protected]
4 Mr. Arthur Wayne House @Ibrahim
Everest Agriculture & Farming Sdn Bhd Suite 1.07, 1st Floor, Wisma AMGM, #57, Jalan Hang Lekiu, 50100 Kuala Lumpur
Tel : 03-42706312 H/P: 017-3102363 [email protected] [email protected]
5 Mr. Soon Hun Yang Eco-Ideal Consulting Sdn Bhd Suite C-7-2, Wisma Gosen, Plaza Pantai 5 Jalan 4/83A Off Jln Pantai Baru 59200 Kuala Lumpur, Malaysia
Tel : 603-78768102 / 22848102 Fax: 603-22848103 H/P: 019-8188102
6 Ms. Rose Ariffin Environmental Resources Management Unit 19-06-01, 6th Floor PNB Damansara, 19 Lorong Dungun Damansara Heights 50490 Kuala Lumpur
Tel: 019 - 330 9192
7 Dai Yong Sunshine Kaidi New Energy Kaidi Mansion, T1 Jiangxia Avenue, Wuhan, 430223, Hubei, China
Tel : +8627-87992685 H/P: +8613554130425 [email protected]
8 Mr. Henrik Rytter Jensen
Danish Energy Management 36th Floor, Menara Maxis Kuala Lumpur City Centre 50088 Kuala Lumpur
Tel : 603 - 2615 0014 H/P: 012 - 302 3914 [email protected]
9 Ms. Sheila Sharma ENVIRON Consulting Services (M) Sdn. Bhd. A307, Phileo Damansara 2 15, Jalan 16/11 46350 Petaling Jaya
Tel : 603 - 76652986 H/P: 012 - 206 8654
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10 Mr. Kim Kean Hong
KYOTO Energy Sdn Bhd (Malaysia Representative Office) Unit SVP4, Jalan Cinta Kasih Country Heights, 43000 Kajang, Selangor
Tel : 603 - 8739 0240 Fax: 603 - 8739 0235 H/P: 6012 - 499 1896
11 Ms. Tee Hui Yong Senior Consultant
GHD Perunding Sdn Bhd 22nd Floor The Mall Putra Place 100 Jln. Putra 50350 Kuala Lumpur
Tel: 603-2332 3886 Fax: 603-2332 3990 [email protected]
12 Mr. Leong Kwok Yan
Leong Partnership Advocates & Solicitors Suite 501, Block E Phileo Damansara 1 9, Jalan 16/11 46350 Petaling Jaya, Selangor
Tel: 03-79554030 Fax: 03-79559681 [email protected]
13 Ms. Michelle Chan
Mercuria Welstar Enterprise Co. Ltd 88 Soi Bangna-Trad 30 Bangna-Trade Road Bangna, Bangkok, Thailand
Tel : 00662-770-3993 668-5642-3993 6012-3161900 Fax: 00662-398-9339
14 Mr. Mohamad Irwan Aman
Mitsubishi UFJ Morgan Stanley Securities, P.O. Box 92, Pejabat Pos Bandar Baru Bangi, 43650 Bandar Baru Bangi, Selangor
Tel: 03-88731235 Fax: 03-88903911 H/P: 019-2577189 [email protected]
15 Gerald Hamaliuk GenPower Carbon Solution Services (Malaysia) Sdn. Bhd. Level 22, Unit A-22-13, Menara UOA, Bangsar, No.5, Jalan Bangsar Utama 1
Tel: 603-22826841 H/P: 60172472917 [email protected]
16 Rober C Y Cheong
TUV NORD (Malaysia) Sdn. Bhd. No.20 Jalan Tiara 3, Tiara Square Taman Perindustrian UEP 47600 Subang Jaya Selangor, Malaysia
Tel : 603-8023 2124 Fax: 603-80234410 H/P: 6012-5010066 [email protected]
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For more information www.mpob.gov.my
General Enquiry Director-General
Malaysian Palm Oil Board (MPOB)
Tel: +603-87694400
Fax: +603-89259446
Technical Enquiry Engineering and Processing Division
Malaysian Palm Oil Board (MPOB)
Dr. Lim Weng Soon
Dr. Loh Soh Kheang
Nasrin Abu Bakar
Mohamad Azri Sukiran
Muzzammil Ngatiman
Nurul Adela Bukhari
Tel: +603-89259592
Fax: +603-89252971