NEW TECHNOLOGY: BIOMASS POWER
GENERATION IN MALAYSIA
GROUP MEMBERS: Chin Ling Wei ME077289
Mirza Elyzas Baig ME075160
Sangeethaa Kanaratanam ME077277
NAME OF LECTURER: Prof. Ir. Dr. Ibrahim B. Hussein
SUBJECT: MEHB403 Power Generation
TABLE OF CONTENT
Abstract
1. Introduction ………………………………………………………………....1
2. Deployment of Biomass Power Generation in Malaysia …….…………….. 2 – 5
2.1. Malaysia National Plans and Evolution of Renewable Policy
2.2. Biomass Deployment
2.3. Future Development
2.4. Barriers and Challenges
2.5. Recommendations
3. Conclusions ……………………………………………………………..…. 5
4. References…………………………………………………………………...5
Appendix
ABSTRACT
Malaysia's viable renewable energy resources are biomass, solar, wind and hydro. The
agricultural sector generated substantial amount of agro-industrial waste. Others biomass
resources include wood waste, biofuel and municipal solid waste. Biomass generating plants are
presently being considered for grid connections. These power plants are expected to increase the
efficiency and lower the cost of generating power from fuels such as palm oil. The successful
implementation of this new power generation depends on many factors such as country’s
economic, financial investment, readiness of available technology and etc. This paper
summarizes the new power generation deployment with emphasis on the engineering challenges.
1.0 INTRODUCTION
Many entities worldwide greatly desire improved and more economic methods for using
and/or disposing of biomass in the course of generating electricity. At present, the amount of
useable power being produced from biomass is very small relative to the biomass resources
available for this use. There are strong reasons for selecting biomass as the first of the renewable
energy sources to be developed for large scale application. Some of these are: (i) availability of
biomass resources in abundant supply, especially in the palm oil industry; (ii) availability of
clean technology for power generation from biomass; (iii) availability of working experience in
using biomass for heat and power generation in the country. The palm oil industry has had more
than forty years of experience in operating biomass cogeneration systems; (iv) application of
biomass power generating system contributes zero net carbon loading to the atmosphere. This is
because the mass of biomass used in power generation must be balanced by the mass of new
biomass growth in order to sustain the system. Moreover, handling technologies, collection
logistics and infrastructure are important aspects of the biomass resource supply chain. The
amount of power that could be generated from biomass resources is much greater, especially
considering the worldwide market. But to effectively capture this underutilized renewable
resource requires a new generation of biomass power plants.
2.0 DEPLOYMENT OF BIOMASS POWER GENERATION IN MALAYSIA
2.1 Malaysia National Plans and Evolution of Renewable Energy Policy
The overall economic strategy for Malaysia is contained in its national plans, which provide the
strategy for 5-year periods. The (8th) Plan, for the period 2001-2005, specified the promotion of
renewable energy as a key objective. In Malaysia’s Seventh Plan (Years 1996 to 2001), the
Government’s focus for the energy sector was on the sustainable development of non-renewable
resources and the diversification of energy sources. In the electricity sector, the main objective
was to ensure adequate power generation capacity as well as the expansion and upgrade of the
national transmission and distribution infrastructure. Furthermore, the development of new and
alternative energy sources as well as energy efficiency was also encouraged. Under the
Government’s Eighth Plan (Years 2001 to 2005) there are substantial efforts to promote and
ensure the sustainable development of energy resources – both non-renewable and renewable –
to meet the growing energy demands of the country whilst also minimizing the negative impacts
on the environment. In light of this pending scenario, the Government is now encouraging and
implementing programs that will promote the migration to a Fifth Fuel: renewable energy.
Utilization of renewable energy sources as a fifth fuel will be intensified during this 8th Plan to
supplement the supply of energy from conventional sources. Biomass resources – namely, palm
oil, wood residues, and rice husks – will be used on a wider scale for generating heat and
electricity. Biomass cogeneration for the production of electricity and heat will be encouraged,
particularly for on-site consumption. The export of excess energy generated by biomass-based
systems to local communities and to the national grid will also be encouraged, depending upon
technical and commercial feasibility. The government has targeted renewable energy resources
to contribute 5% of the electricity generation for the national grid by the end of the Eight
Malaysian Plan (8MP). This 5% target would equate to installing approximately 600-750MW of
renewable energy by 2005. Malaysia ratifying the Kyoto Protocol in September 2003 has opened
the way for Malaysian renewable energy project developers to seek financing under the Clean
Development Mechanism. [1], [2], [3]
2.2 Biomass Deployment
Malaysia has tremendous biomass and wood waste resources available for immediate
exploitation. Much of this is readily available waste from the agricultural sector. An example of
a current biomass project under development in Malaysia is the construction of a biomass power
plant in the state of Perlis which will use rice husk as the main source of fuel. It will have a 10
MW capacity and produce sufficient energy for 30,000 households. The US$15 million project
will be undertaken by Bio-Renewable Power Sdn Bhd in collaboration with the Perlis state
government, while technology will be provided by Finland's Foster Wheeler Energia Oy. The
power plant was set to start operation in 2005. There are readily available resources for another
13 such projects. Another large biomass sector to emerge in Malaysia is the palm oil industry,
both for direct production of energy fuels and the use of wastes for biomass-generated electricity
for sale to the local distribution grid. As mentioned above, there are 28 approved biomass
projects that involve the installation of 194 MW of grid-connected capacity under the SREP
scheme. Biomass in Malaysia contributes about 14% of the approximately 340 million barrel of
oil equivalent (boe) of energy used every year. There are five major sectors that contribute
wastes to the biomass energy in Malaysia: oil palm cultivation, forestry (wood products), rubber
cultivation, paddy cultivation, animal farming and urban waste. Some other sectors include
coconut cultivation, cocoa cultivation and sugar cane cultivation. Table 1 shows the estimation
of energy productivity, biomass production and utilization. [1]
Table 1: Estimates of the energy productivity and biomass production and utilization
The Malaysian Government has given biomass priority amongst the renewable energy options to
be developed for extensive application in the country. The primary reasons for this are:
1. Availability of abundant supplies of biomass resources, especially in the palm oil industry.
2. Availability of clean technology for power generation from biomass.
3. Availability of working experience in using biomass for heat and power generation in the
country, especially in regard to cogeneration systems.
Table 2: Energy Potential from Biomass/Biogas (year 2000)
Malaysia is actively pursuing biomass power as its keystone renewable energy resource. SIRIM,
with the cooperation and assistance rendered by the ASEAN-EC GOGEN Programme has been
promoting the adoption of various proven and efficient biomass energy technologies in the
industrial sectors. There are now eight Full Scale Demonstration Plants (FSDPs) successfully
implemented using biomass as fuel to operate co generation. One using rice husk, five using the
wood waste, one using palm oil waste and one using rubber waste. [1]
2.3 Future Development
Biopower technologies are proven electricity generation options. All of today's capacity
is based on mature direct-combustion technology. Future efficiency improvements will include
cofiring of biomass in existing coal fired boilers and the introduction of high-efficiency
gasification combined-cycle systems, fuel cell systems, and modular systems. A variety of fuels
can be made from biomass resources, including the liquid fuels ethanol, methanol, biodiesel,
Fischer-Tropsch diesel, and gaseous fuels such as hydrogen and methane. Biofuels research and
development is composed of three main areas: producing the fuels, finding applications and uses
of the fuels, and creating a distribution infrastructure. Biobased chemicals and materials are
commercial or industrial products, other than food and feed, derived from biomass feedstocks.
Biobased products include green chemicals, renewable plastics, natural fibers, and natural
structural materials. Many of these products can replace products and materials traditionally
derived from petrochemicals, but new and improved processing technologies will be required.
Research and development on models for integrated bioenergy systems and its assessments must
be carried out. The economic, social, environmental, and ecological consequences in growing
and using biomass are important to understand and consider when addressing technological,
market, and policy issues associated with bioenergy systems, chemicals, renewable plastics,
natural fibers, and natural structural materials. Many of these products can replace products and
materials traditionally derived from petrochemicals, but new and improved processing
technologies will be required. [2], [4]
2.4 Barriers and Challenges
The barriers to the implementation of renewable energy programme in Malaysia are not so much
different from other countries. The major barriers are:
1. Absence of effective complete government policy on renewable energy. This is still
evolving.
2. Some issues exist regarding legislation enabling the connection of renewable energy
generated electricity to the national grid.
3. Absence of financing for renewable energy projects. Banks have no experience of
providing debt to small and medium sized renewable energy projects in Malaysia. This
exacerbated by a restriction on foreign companies owning a maximum of 30% of any
Malaysian company. Whilst SREP and the Clean Development Mechanism (CDM) offer
significant levels of financial support, these are relatively recent initiatives, and in the
case of the CDM national procedures are not in place.
4. Absence of an established and well funded institutional framework for promoting
renewable energy. As is the case in many countries the institutional framework is still
evolving.
5. Insufficient awareness on the potential of renewable energy.
6. Resistance to change or inertia, because conventional energy is dominant and well
established. [1], [2]
Since most immediate opportunities appear to exist in relation to the SREP programme it worth
highlighting some of problems identified by stakeholders in its design:
1. The 17 Sens power purchase rate in Peninsular Malaysia is too low for many projects.
However, the Government is reviewing this.
2. The power purchase price does not take account of inflation.
3. The limit of 10MW is a problem. Many projects will not be viable at such small
capacities.
4. The electricity off-taker does not have to take 10MWs, and initial indications are that the
off-takers are taking on a smaller capacity than that offered by the developer.
5. Connection to the transmission line can be a barrier because the project developers
(except for small hydro) have to pay these costs, which are not taken into account in the
price offered for the electricity.
6. In some cases the SREP has raised expectations amongst the palm oil waste suppliers,
and the prices they are now demanding are negating the benefits of the SREP. [1], [2]
2.5 Recommendations
It is recommended that the government to highlight the following areas to be considered as the
main agenda in the ASEAN New & Renewable Energy meeting:
1. Review the current RE policy in each ASEAN country.
2. Review the current RE incentive and support in each ASEAN country.
3. Identify the obstacles and barriers in implementing the RE projects (Financing,
technology, policy, awareness etc)
4. Identify the RE technologies and established a partnerships to promote the technologies.
5. Establish standardized RE policy for ASEAN countries.
6. ASEAN countries to be proactive in formulating and implementing RE. [4]
3.0 CONCLUSIONS
The energy sector is one of the most important sectors in the nation. The sector has
contributed to the development and economic well being of the country. Education and training
should emphasize on effective public awareness on energy issues such energy efficiency and the
use of renewable energy. Research and development should lead towards understanding of
fundamental sciences and commercialization of research products. Commercialization of the
technology is being driven by four major challenges namely that the world will rely even more
heavily on a few energy rich nations for primary energy. Secondly, security and price will be
threatened as countries scramble to ensure supply. When fossil fuels burn they leave by-products
that damage both the environment and health, causing misery for millions of people. Fourthly,
build-up of carbon dioxide and other greenhouse gases is leading to global warming with
unpredictable but potentially catastrophic consequences and finally deregulation of the electricity
supply industry is changing the market. New companies are entering the market offering energy
services based on distributed on-site power generation. This segment of the energy market is
likely to grow rapidly and utilities will have to adapt to the opportunity and challenge.
4.0 REFERENCES
[1]. ASEAN (2000), ‘Promotion of Renewable Energy in South East Asia, Country Profile:
Malaysia’. Available online at <http://www.aseanenergy.org/pressea/malaysia/
countryprofile/renewable_energy_sources.htm>.
[2]. DOE (2005), ‘Country Analysis Brief: Malaysia’, US Department of Energy. Available
on line at <http://www.eia.doe.gov/emeu/cabs/malaysia.html>.
[3]. Pusat Tenaga Malaysia, ‘Biomass Generation and Cogeneration Project’. Available
online at <http://www.ptm.org.my/biogen>.
[4]. Sopian, K. M. Y. Othman, B. Yatim, and A.H. Shamsuddin, 2000. Potential Application
of Environment Friendly Renewable Energy Systems, Journal of Environmental
Management, Vol. 1, pp. 3 - 19.
5.0 APPENDIX
Case Study 1
Project Profile: TSH Bio-Energy Sdn Bhd
Introduction
Malaysia is blessing with fertile land that make agricultural is one of the major contributor to our
economy. The palm oil fruit or known as golden crop in Malaysia has produced the palm oil
products such as for cooking oil, bath soap, food supplement and many others. However the
process of producing the useful product at the palm oil mill has contribute significantly to the
Green-House-Gasses (GHG) emission. However, ‘the waste’ has a big potential to be utilized as
a biofuel. TSH Bio-Energy Sdn Bhd is the subsidiary company of TSH Group of Companies, is
the first company to be grid connected biomass power plant in Malaysia. The plant has the total
capacity of 14 MWe and 33 tons per hour extracted low-pressure steam supply to the
neighboring palm oil mill. The plant is equipped with one-80 tones per hour, Enco-Volund boiler
and one-extraction condensing, Shin Nippon turbine that coupled with AVK alternator.
The plant is fully automated and controlled in the main control room equipped with ‘big power
plant’ standard monitoring devices. The overall concept of the power plant showed that TSH
Bio-Energy had brought the biomass power industry to the upper level and almost similar to the
Independent Power Producer (IPP) concept but in smaller scale.
Background
The project is located in Tawau, Sabah. The project development stage has been started in 2002
and received the commercial operation date (COD) on September 2004. The total capital cost of
the project was RM 47 million. TSH Bio-Energy Sdn Bhd was successfully reducing 40% of the
estimated cost through Owner’s Engineer concept to the project. The capital cost incurred is to
the all equipment cost, services and interconnection to the Sabah Electricity Sdn Bhd (SESB)
grid. The Renewable Energy Power Purchase Agreement (REPPA) has been signed with
SESB on 4th October 2002 with the RE purchase price at 21.25 sen/kWh. The energy harvest
concept was introduced in order for the power plant to supply the energy to the grid based on the
availability of the biomass per year. However, the concept is only applied for SESB only.
Biomass Solid Fuel
The TSH Bio-Energy received its fuel resource from neighboring and nearby palm oil mill
belongs to TSH group of companies and as well as some small private millers. The fuels are
burnt in the boiler with the proportion of Empty Fruit Bunch 70%, Fiber 20% and dry shell
10%.The fuel management is important in ensuring the efficiency of the plant. The process
started at the reception and storage of the biomass. The fuels are kept in a covered fuel
preparation plant, which has maximum storage capacity of 600 tons per day. The dewatered
empty fruit bunch will be shredded with 2-stage cutter system into smaller size (max 80 mm of
fiber with estimated 45% moisture content.) to ensure better combustion. The biomass fed into
the boiler with the automatic fuel feeding system via conveyor system.
Power & Steam Generation
Steam is produced by biomass boiler with maximum continuous rating of 80,000 kg per hour at
50bar.g pressure and 402 deg.C superheated temperature. The steam expanded in steam
turbines, through a series of turbo wheels and then led into the exhaust manifold and into
atmospheric condenser. The boiler supplied and manufactured by ENCO Sdn Bhd and patented
model from B&W Volund. The overall efficiency of the boiler mentioned is 85% with allowable
moisture content and size are 48% and 4 inch long respectively. The water treatment plant
consists of 150 cubic meters per hour water clarifier, 40 cubic meters per hour reverse osmosis
plant and 120 cubic meters per hour water storage tanks. The steam turbine used is Shin-Nippon
brand and rated at 14 MWe. The alternator is German brand, AVK. Both alternator and steam
turbines synchronized very well. The cooling water requirement is 300 cubic meters per hour and
the rate of evaporation loss is at 2%. 47 tones of the steam produce are recovered back to feed
water system and 33 tones are extracted for palm oil mill consumptions. The overall power plant
is being monitored and controlled by electronic and computer based control and monitoring
system. The TSH Bio-Energy deployed History management Index (HMI) to allow personnel to
monitor and control their plant via computer screen.
Conclusion
TSH Bio-Energy Sdn Bhd is the first grid connected biomass energy plant in Malaysia. Biomass
energy project is undoubtedly could reduce the dependency on fossil fuels and thus reduce
carbon emission and greenhouse gases to the atmosphere. The experience from the TSH BioEnergy project could be used in order to improve the development of biomass energy project in
Malaysia.