PALMOILMAGAZINE, SOUTH PAPUA – As the morning sun illuminated Boven Digoel, South Papua, the hum of machinery and bustling workers signaled the construction of a groundbreaking project. This was no ordinary development—it was the region’s first Biogas Power Plant, initiated by Tunas Sawa Erma (TSE) Group.
“We recognize that the palm oil industry must continuously innovate—not just for business sustainability, but also for environmental responsibility,” said Luwy Leunufna, Director of TSE Group, in a statement to Palmoilmagazine.com on Saturday (March 8, 2025).
He acknowledged that while the initial investment is substantial, it will reduce long-term reliance on fossil fuels.
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With an investment of $3.6 million, TSE Group is developing a biogas facility that converts Palm Oil Mill Effluent (POME) into renewable energy. Two massive biogas tanks, each with a 7,800-cubic-meter capacity, dominate the plant site. Once operational, the facility will generate 2 MW of electricity, supporting operations such as the Palm Kernel Crushing Plant.
However, energy efficiency is just one aspect of the initiative. Luwy emphasized that the project is part of the company’s commitment to achieve Net Zero Emissions by 2050.
“By integrating the Biogas Power Plant with BioCNG, we are accelerating sustainability efforts. Our goal is to offset emissions, replace fuel-powered heavy machinery with electric vehicles, and transition from B30 biodiesel to B40 and B50 in line with government regulations,” he explained.
This initiative also aligns with Indonesia’s commitment to the Paris Agreement, reinforcing TSE Group’s belief that national emission reduction targets can only be met through collaboration and innovation.
The biogas plant is set to be inaugurated in the coming months. Moreover, TSE Group has outlined plans to build five additional facilities as part of its Emission Reduction Roadmap.
This project serves as concrete proof that the palm oil industry can advance without harming the environment. Amid global challenges, TSE Group is choosing innovation over stagnation, delivering real solutions for a greener and more sustainable future. (P2)
