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Oil palm biomass pellets in Malaysia for Sale
You can Always Get Adequate Supply of Biomass
Malaysian palm oil is the most important agricultural crops, including palm oil plantations are dispersed in both Peninsular and East Malaysia, Sabah is the largest proportion of the national acreage included. Total area under cultivation grew from 3.38 million hectares, in 2000 48,500 hectares in 2010. In addition, today's FFB harvested and collected in plantations, and then transported to the production of crude palm oil mills. As a result, palm kernel shell and mesocarp fibers have been accumulated in the steel, which can easily get to be transported to gather a hub or downstream processing facilities.
Six types of oil palm biomass can be produced as by-products of the palm oil industry
Palm kernel shells, oil palm fronds, empty fruit bunch, oil palm trunks, mesocarp fibre and palm oil mill effluent.
Palm kernel shells, oil palm fronds, empty fruit bunch, oil palm trunks, mesocarp fibre and palm oil mill effluent.
The national strategy lays the foundations
The National Biomass Strategy 2020 lays the foundations for Malaysia to capitalise on its biomass by channeling it into higher value downstream uses. A conservative scenario of utilizing an additional 20 million tonnes of oil palm biomass by 2020 for higher-value uses has the potential to contribute significantly to the nation’s economy. In addition to a significant incremental contribution to GNI of RM 30 billion by 2020, this National Biomass Strategy 2020 offers Malaysia a way to meet its renewable energy target, reduce emissions and create about 66,000 incremental jobs.
Huge existing market demand of biomass pellets
Converting biomass to pellets will allow plantation owners in Malaysia to immediately capitalise on available biomass. Pellets produced in Malaysia can be shipped to Europe as well as Japan or Korea to be burned for energy. There is an existing market demand for pellets from European energy utility companies that need to meet European renewable energy targets. Similarly, Japan is sourcing biomass for co-firing to ensure sufficient energy supply given its reduction in nuclear energy capacity. The current European market is about 10 million tonnes of pellets p.a., which at current growth rates could be as much as 90 million tonnes. p.a. by 2020. European utilities value assurance of supply and longer term contracts (i.e., 12–18 months), and Malaysian pellet companies that can meet these needs may be able to command a higher price.
Less investment and quick return
100,000 tons of production capacity of medium-sized pellet plant needs RM30-40 million investment per year, and there are 3--5 years payback period. Due to the low cost of capital, technology and infrastructure in place once the biomass does not have to remain locked in such use, and can be directed to higher-value use.
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