New partnership announced for 1.2MW biogas project in Malaysia

Malaysia will to stay behind as South East Asia is advancing ahead with biofuels development as a region. In a key development, TH Plantations has partnered Cenergi SEA to develop, construct and operate a 1.2 MW biogas power plant in Kluang, Johor, Malaysia. This project will be carried out through a joint venture between THP Applications & Services Sdn Bhd and Cenergi RE Sdn Bhd.

TH Plantations CEO, Mohamed Zainurin Mohamed Zain, held that the biogas power plant is slated to become operational in 2026.

Once functional, the electricity generated will be sold to the national grid under the Sustainable Energy Development Authority’s (SEDA) Feed-in Tariff (FiT) scheme.

“At TH Plantations, we continuously seek to enhance Tabung Haji’s investment value while prioritizing environmental sustainability,” Zainurin stated during the signing ceremony.

As per the reports, biogas power plant will produce enough electricity to power up to 1,500 homes annually and is expected to help avoid approximately 20,000 tons of carbon emissions each year, equivalent to removing 4,760 cars from the road. The CEO emphasized that the project aligns with TH Plantations’ Al-Falah 22/22 strategies, which focus on optimizing the treatment of palm oil mill effluent and reducing greenhouse gas emissions. He noted that the integration of green technology initiatives will improve the existing factory treatment system without causing environmental harm.

“Renewable energy is set to play a growing role in Malaysia’s electricity generation, given the abundant biomass and biogas resources. TH Plantations is dedicated to exploring opportunities to become a reliable supplier of bio-stock for the renewable energy industry,” he added.

Cenergi group CEO Hairol Azizi Tajudin highlighted that through this partnership, Cenergi will provide its expertise and services to support TH Plantations in its sustainability efforts, particularly in reducing carbon emissions. “As part of our strategic collaboration with TH Plantations, we plan to explore additional opportunities not only in biogas but also in biomass pellets and solar energy. We are open to further exploring other renewable energy technologies with TH Plantations as opportunities arise,” Hairol said.