TH Plantations has partnered with Cenergi SEA to develop, build and operate a 1.2 megawatt (MW) biogas power plant in Kluang, Johor, Malaysia. The project will be implemented through a joint venture between THP Applications & Services Sdn Bhd and Cenergi RE Sdn Bhd.
TH Plantations CEO Mohamed Zainurin Mohamed Zain said the biogas power plant is expected to be operational in 2026.
Once operational, he said the electricity generated from this biogas plant will be sold to the national grid managed by Tenaga Nasional Bhd (TNB) under the SEDA (Sustainable Energy Development Authority) Fit Scheme.
“At TH Plantations, we are always looking for ways to enhance the investment value of Tabung Haji while prioritizing environmental sustainability,” he said at the signing ceremony.
The biogas plant is expected to generate enough electricity to power up to 1,500 homes annually.
The plant could help avoid approximately 20,000 tons of carbon emissions annually, which is equivalent to taking 4,760 cars off the road for a year.
Zainurin said the project was in line with TH Plantation’s Al-Falah 22/22 strategies, which aim to optimize the treatment of palm oil mill wastewater and reduce greenhouse gas emissions.
The introduction of green technology initiatives will enhance the existing mill treatment system without harming the environment, he said.
“Renewable energy will play an increasingly important role in Malaysia’s power generation, given the abundance of biomass and biogas resources. TH Plantation is committed to exploring opportunities to become a reliable supplier of bio-stock to the RE industry,” he said.
Cenergi Group CEO Hairol Azizi Tajudin said through this partnership, the company will offer its expertise and services to support TH Plantations in its sustainability journey, particularly in reducing carbon emissions.
“As part of our strategic collaboration with TH Plantations, we should collaborate more not only in biogas but also in other areas.