Biomass pulls in RM3.5bil

Several parties are seeking to invest up to RM3.5bil to set up operations in the budding biomass sector.

Datuk Leong Kin Mun, technical adviser to the EU-Malaysia Biomass Sustainable Production Initiative (Biomass-SP), said that the parties had sought the help of Biomass-SP and Malaysian Biotechnology Corp in ensuring sufficient amount of feedstock for their operations as well as to present their proposals to the authorities.

It is learnt that US-based Genomatica is seeking to set up a US$300mil (RM913.4mil) plant, while China’s Wuhan Kaidi is planning to build a 20-MW biomass power generation plant valued at RM2.5bil.

“There are still many issues to be addressed, for example a power plant that needs about 300,000 tonnes of dry feedstock annually. It is an enormous amount and we need to ensure that there is sufficient supply for the company before helping it to materialise its plans,” Leong said at a media briefing on the EU-Asia Biomass Best Practices and Business Partnering Conference 2012.

Leong: ‘There are still many issues to be addressed.’

Biomas-SP has arranged for Wuhan Kaidi to meet the state authorities of Sabah, Terengganu and Perak regarding its project.

“The company will also be submitting its proposal to the Sustainable Energy Development Authority Malaysia to qualify for the feed-in-tariff scheme,” he said.

The conference, to be held from May 7 to 10, is expected to bring together about 500 local and international delegates. It will also act as a medium to match-make local biomass stakeholders with participating companies from Europe and the Asia-Pacific.

The conference would focus on key growing sectors of the industry, namely bio-energy, eco-products and green building materials, biofertiliser and agro-based products, bio-based materials and high-value chemicals.

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