By Romel S. Gurky
PT KIS Biofuel Indonesia has officially commissioned its second BioCNG plant, marking another milestone in the company’s push to scale up renewable energy solutions in Indonesia.
According to a post on the company’s LinkedIn account viewed on Monday, the new facility was developed under a Design, Build, Own & Operate (DBOO) model. The project is a collaboration between PT KIS Biofuel Indonesia and PT Tasik Raja, a subsidiary of the Anglo Eastern Plantation (AEP) Group.
Located in Labuhanbatu Selatan Regency, the plant converts palm oil mill effluent (POME) into compressed biomethane, also known as BioCNG. With a production capacity of up to 182,000 MMBtu per year, the facility aims to provide a clean energy alternative while helping reduce greenhouse gas emissions.
Read also : First commercial BioCNG plant inaugurated
The commissioning of this plant follows the launch of Indonesia’s first commercial BioCNG facility by KIS in January 2024, located at Blangkahan Palm Oil Mill in Langkat, also in North Sumatra.
The Labuhanbatu Selatan plant is part of KIS’s broader vision to develop 25 BioCNG facilities across the country, each with a capacity of 15,500 cubic meters per day. According to Indonesia’s Ministry of Energy and Mineral Resources, the entire network is expected to generate 387,500 cubic meters of BioCNG daily, potentially reducing carbon dioxide emissions by 3.7 million tons annually — a reduction equivalent to the generation of millions of dollars in carbon credits.
The company has already secured a major offtaker for its BioCNG — PT Unilever Oleochemical Indonesia. The firm plans to use the green fuel to replace diesel in its logistics and industrial operations, significantly lowering its carbon footprint.
Editing by Reiner Simanjuntak
