Biofuel firm DSJ turning palm waste into biomass fuel in Indonesia

20, Jun. 2019

Japanese company DSJ Holdings Inc. deploys its deoxidization technology to turn residual palm tree waste into biomass fuel, as explained during a business-matching event in Jakarta, on June 18, 2019. (NNA/Kyodo)
Japanese company DSJ Holdings Inc. deploys its deoxidization technology to turn residual palm tree waste into biomass fuel, as explained during a business-matching event in Jakarta, on June 18, 2019. (NNA/Kyodo)

By Masayuki Tada

JAKARTA, NNA - Japanese company DSJ Holdings Inc. is deploying its deoxidization technology to turn residual palm tree waste into biomass fuel in Indonesia, the world's largest palm oil producer.

DSJ President Izumi Hara said in Jakarta on Tuesday that his firm's local arm, PT. Torrefaction Bioenergy Indonesia, has started deoxidization processes at a plant on Batam Island to make palm kernel shell fuel, known as deoxidized PKS.

The Japanese firm says it aims to ship the fuel to meet renewable energy demand in Japan and Europe.

Palm waste becomes a hotbed of germs and pests and causes problems in its immediate environment if left to rot.

The Tokyo-based biofuel venture, established in 2015, intends to provide a solution to such problems through the new project.

DSJ set up the Indonesian subsidiary in May last year and installed the facilities to produce 1,000 tons of deoxidized PKS per month, Hara said at a business-matching event organized by the Japan External Trade Organization.

The facilities can reduce substances such as chlorine and potassium to lower dioxin emissions when palm remains are burned, and make the residue suitable for wooden biomass fuel.

Hara said the facilities can also deoxidize empty palm fruit bunches and oil palm trunks to be used as biomass fuel.

He also said his firm plans to further invest in Indonesia to raise the monthly PKS output capacity to 20,000 tons by next March to make shipments to Japan and Europe.

Japan is facing a shortage of imported wood biomass fuels as domestic biomass fuel power generation capacity expands rapidly on the back of the government's clean energy push following the Fukushima nuclear disaster in 2011, according to the Japan Woody Bioenergy Association.

The DSJ project in Indonesia has prompted Malaysia, the world's No. 2 palm oil producer, to ask for cooperation, Hara added. (NNA/Kyodo)