KUALA LUMPUR, May 18 — FGV Holdings Bhd plans to boost returns from its renewable energy projects as part of its recovery strategy from the Covid-19 pandemic.
Biogas is utilised as fuel for electricity generation via biogas engines to supply electricity to the National Grid through the Feed-In-Tariff mechanism governed by the Sustainable Energy Development Authority Malaysia , said FGV. FGV said it is also carrying out cost optimisation initiatives across the group in terms of fuel savings at its mills and plants via RE projects.
The Japanese government’s 2012 renewable initiative to depend less on fossil fuel has driven up demand, with the import of PKS by Japan nearly tripling since 2015 to 1.3 million tonnes in 2018, hence offering a great opportunity for FGV to explore and penetrate Japanese PKS market, ahead of competition from Indonesia, it said.
On the other hand, following the success of the first bio-compressed natural gas plant at Sungai Tengi Palm Oil Mill, in Selangor, FGV said it is now planning to set up Bio-CNG/Bio-LNG plants at potentially 35 of its palm oil mill through external investments,