FGV Wins Renewable Energy Award for Three Consecutive Years at the National Energy Awards 2020

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FGV’s Sahabat Biomass Cogeneration Plant in Lahad Datu, Sabah

KUALA LUMPUR, 25 November 2020 – FGV Holdings Berhad (FGV), through its subsidiary FGV Palm Industries Sdn. Bhd. (FGVPI), was recently announced as the winner for the National Energy Awards (NEA) 2020, under the Renewable Energy (Cogeneration) Category. FGVPI has won the national award for three consecutive years since 2018 in various renewable energy categories related to utilising palm waste to energy.

The project awarded is FGVPI’s Sahabat Biomass Cogeneration Plant (SBCP) which utilises Empty Fruit Bunches (EFB), a palm waste byproduct to produce steam and electricity. The biomass power plant is located in FGV’s Sahabat Complex in Lahad Datu, Sabah.

“This award is a testament to FGV’s continuous commitment in renewable energy, in line with the nation’s agenda towards a more sustainable future by utilising green energy and resources,” said Dato’ Haris Fadzilah Hassan, Group Chief Executive Officer of FGV.

Biomass boiler utilising palm waste by-product which is shredded empty fruit bunch (SEFB) sourced from FGVPI palm oil mills for steam and electricity generation

SBCP generates up to 7.2 megawatts (MW) of electricity, which has the potential to provide power for up to 4,000 houses. It also generates around 16 metric tonnes (MT) of steam per hour for FGV’s refinery complexes, kernel crushing plant and bulking facilities. The electricity generated is supplied for commercial and domestic users, as well as for the plant auxiliary consumption. This activity generates revenue of approximately RM12 million per year for SBCP.

Apart from commercial usage, SBCP also contributes to rural electrification by supplying renewable energy in the form of electricity to the rural mini grid. The electricity produced works as a substitute to diesel, which is traditionally used among local communities within the Sahabat Complex. This enables more than 1,500 homes within the complex to enjoy clean renewable electricity with a lower cost of energy generation.

“In addition to reducing power generation and electricity costs, the project also contributes to the improved quality of life for consumers and local communities near the SBCP, by maximising their economic activities through stable and secure local power supply.”

“The project also significantly decreases our carbon footprint and the country’s dependence on imported and fast depleting fossil fuels for electricity generation,” added Haris Fadzilah.

Generating electricity via steam turbine with a capacity up to 7.2MW

By increasing the uptake of EFB as fuel for power generation, Greenhouse Gas emissions are substantially reduced through the avoidance of methane emissions and infringement of environmental regulations, which are normally associated with poor EFB disposal management.

FGV is currently the world’s only palm plantation company that owns 28 biogas power plants and is the first to develop a palm-based commercial-scale Bio-Compressed Natural Gas (Bio-CNG) plant in Malaysia.

With sustainability embedded and ingrained in all aspects of its operations, FGV is fully committed to ensuring consistent efforts and initiatives are carried out to improve its carbon emission footprint, utilisation of green resources, compliance with regulations, and contribution to society and the environment.

Source : FGV Holdings