KUALA LUMPUR: TH Plantations Bhd has partnered with Cenergi SEA Bhd to undertake the development, construction and operations of a 1.2 megawatts (MW) biogas power plant in Kluang, Johor.
The project will be executed through a joint venture between THP Applications & Services Sdn Bhd and Cenergi RE Sdn Bhd.
TH Plantations chief executive officer (CEO) Mohamed Zainurin Mohamed Zain said the biogas power plant is targeted to be operational in 2026.
Once operational, he said the electricity generated from this biogas power plant will be sold to the national grid managed by Tenaga Nasional Bhd (TNB) under the SEDA's (Sustainable Energy Development Authority) Fit Scheme.
"At TH Plantations, we are always looking for ways to enhance Tabung Haji's investment value while prioritizing environmental sustainability," he said at the signing ceremony here, today.
The biogas power plant is set to generate enough electricity to power up to 1,500 homes annually.
In term of environmental impact, this biogas power plant could help avoid about 20,000 tons of carbonemissions annually, which is equivalent to 4,760 cars driven in a year.
Mohamed Zainurin said the project aligns with TH Plantation's Al-Falah 22/22 strategies, aimed at optimising the treatment of palm oil mill effluent and reducinggreenhouse gas emissions.
He said the introduction of green technology initiatives will enhance the existing factory treatment system without causing environmental harm.
"Renewable Energy (RE) is poised to play an increasingly significant role in Malaysia's electricity generation, given the abundance of biomass and biogas resources. TH Plantation is committed to exploring opportunities to become a reliable supplier of bio-stock for the RE industry," he said.
Meanwhile, Cenergi group CEO Hairol Azizi Tajudin said through this partnership, the company will offer its expertise and services to support TH Plantations with its sustainability journey, particularly in reducing carbon emissions.
"As part of our strategic collaboration with TH Plantations, we should collaborate more not only on biogas but in other areas such as biomass pellets and solar.We are also open to explore other areas of RE technology with TH Plantations should the opportunity arise, and the time is right," added Hairol.