Viability of biomass energy in green race

Power source: Empty oil palm fruit bunches are seen in this file photo. The biomass the country uses, primarily from palm oil residue, is very different from the biomass in Europe like corn or rapeseed, according to a government official.

WHILE the idea of generating energy from biomass has been a key renewable energy push over the last few years, a recent report in the United Kingdom about one of its plants is shaking the foundation of this concept.

Earlier this month, a report by The Guardian stated that a biomass power station has generated four times more carbon dioxide than a traditional coal-fired power station.

Questions have also arisen about whether it is justified for governments to continue giving incentives for biomass energy plans considering this.

Historically reliant on coal, Malaysia has embraced biomass, particularly given its vast agricultural resources such as palm oil residues.

Malaysia has been pushing the biomass energy agenda since the early-2000s, with the first edition of the National Biomass Strategy (NBS) 2020 published in November 2011.

A total of RM31.7mil had been invested in various palm biomass projects in 2023 alone.

These initiatives are supported by government incentives such as pioneer status, which offer income tax exemptions of 70% to 100% for five to 10 years, and the investment tax allowance (ITA), which provides 60% to 100% of qualifying capital expenditure incurred within a period of five to 10 years.

The allowance can be offset against 70% of statutory income in the year of assessment, making the biomass sector particularly attractive to investors.

When asked about the comparison between biomass energy production in Malaysia and the United Kingdom, a Malaysia government official overseeing biomass developments emphasises the complexity of the issue, highlighting that direct comparisons should not be made.

“The biomass we use, primarily from palm oil residue, is very different from the biomass in Europe like corn or rapeseed. These crops require large landscapes, and clearing the land exposes it to erosion, reducing the carbon dioxide (CO2) absorption capacity of the land.

“On the other hand, oil palm trees are productive for up to 25 years. When we use the empty fruit bunches for biomass, the tree is still standing, continuing to absorb CO2,” he explains.

To be noted is the fact that biomass is derived from organic materials such as plants and agricultural residue. As plants grow, they absorb CO2 from the atmosphere, making biomass a part of the carbon cycle.

However, many would argue that in a country like Malaysia, solar energy should be more heavily emphasised given its abundant sunshine.

In regards to this, he points out that unlike solar energy, which is dependent on weather conditions and daylight hours, biomass offers a consistent and continuous source of energy, making it a reliable source of energy.

He acknowledges that there are challenges, particularly in the logistics of aggregating biomass from plantations scattered across Malaysia.

“Logistical costs can be a significant barrier, potentially negating the environmental benefits if the emissions from transportation exceed the carbon savings from using biomass,” he notes.

“It’s crucial for industry players to ensure they have a sufficient and consistent supply of feedstock before embarking on large-scale biomass energy projects.”

He believes that there isn’t a single solution that can address the entire energy challenge

Instead, a diversified approach involving various energy sources, including solar, wind and hydropower, is essential for a sustainable future.

As for biomass energy production, in his view, the most viable approach is to integrate it within existing palm oil mills, which the country has already embarked on.

“This not only reduces logistical challenges but also ensures a steady supply of raw material. The best solution is to build small, efficient biomass power plants directly at palm oil mills, where the residue is already concentrated.

“This approach maximises the efficiency and sustainability of biomass energy in Malaysia.”

Similarly, Alexis Joseph, an environmental, social and governance expert and sustainability consultant, notes that while biomass is often touted as a cleaner alternative to fossil fuels, it’s not without its challenges.

“Yes, biomass is considered clean energy because it’s not a fossil fuel but rather short-cycle carbon,” he says.

“However, it’s not a complete solution,” he notes.

He also points out that similar to other renewable sources, such as solar energy, come with their own environmental costs.

“Solar panels use rare earth materials, and the toxic waste they produce is something we haven’t yet figured out how to dispose of properly. The real struggle should be on reducing overall energy consumption rather than just substituting one form of energy for another.”

He emphasises that sustainability requires a more complex and interconnected approach.

“All efforts in carbon mitigation are valuable not just for their direct impact but for the educational footprint they create. People often don’t realise the importance of their efforts in quantifying emissions, particularly in understanding scope 3 emissions. Sustainability is a complex solution. Which is targeted at minimisation of overall environmental impact, not a spatial solution.”

Malaysia’s biomass potential is significant, with the estimated annual production from various sectors reaching approximately 182.6 million tonnes.

A substantial portion of this, about 85.17%, is derived from the oil palm biomass industry.

The country has an estimated 5.89 million hectares of oil palm plantations, which produce roughly 94.7 million tonnes of oil palm biomass annually.

Given these figures, it’s clear that biomass holds considerable promise as a renewable energy source for Malaysia.

However, as the experts point out, it is essential for industry stakeholders to carefully plan and manage the logistics and sustainability aspects to fully realise this potential.