What is the biomass of oil palm and how does it contribute to the production of clean energy in Malaysia

When people think of palm oil, cooking or export oil often comes to mind. However, did you know that palm oil is also a major contributor to energy production?
Malaysia is among the largest sources of biomass in the country thanks to palm oil plantations, producing organic materials that can be converted into renewable and carbon-neutral energy.

In 2022, palm oil biomass accounted for 89.8% of total biomass production in Malaysia, equivalent to 164 million tons out of a national total of 182.6 million tons.

Now, Malaysia is positioning this “agricultural surplus” as a key driver for its future in clean energy and green economic transformation.

What is biomass?

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Biomass refers to any organic material, such as plant waste or animal by-products, that can be used to generate energy or produce value-added products. It can be considered energy from the “remnants of nature.”

The importance of biomass:

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• Renewed: Unlike fossil fuels, they can be naturally replenished over time.
• CARBON NEUTRAL: The carbon dioxide released when it burned was absorbed by the plant as it grew.
• REDUCE WASTE: Instead of disposing of agricultural waste in landfills or burning it, it can be converted into energy, fertilizer, or building materials.

In short, biomass helps close the cycle in the circular economy by reducing emissions, reducing waste and creating new economic value.

With over 5.67 million hectares of palm oil plantations, it is no surprise that the palm oil industry dominates the biomass sector in Malaysia.
But what may surprise some is the size and variety of “waste” that results from palm oil.

Types of palm oil by-products:

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From the fields:

• Palm fronds: It is pruned regularly and in large quantities and is often overlooked.
• Palm trunks: cut during replanting cycles.

From the contemporary:

• The taste of empty fruits: what is left after the fruits are removed.
• Mesocarp fibers: from the fibrous pulp of the fruit.
• Palm kernel scales: the hard shell that protects the kernel.
• Palm kernel gain: What is left after extracting oil from the kernel.
• Palm oil mill wastewater: liquid waste from treatment.

Instead of being discarded, these by-products are treated as a valuable raw material for the production of green energy, organic fertilizers and sustainable materials.

Thanks to the development of biomass technologies, palm oil waste in Malaysia can now be converted into renewable energy products such as:

• Electricity: through direct combustion or advanced techniques such as gasification.
• Biogas: It is extracted from mill wastewater using anaerobic digestion.
• Biomass pellets: It is pressurized and used for industrial heating.
• Biofertilizers and Compost: To feed the soil without chemicals.
• Environmental materials: for green packaging, building materials, etc.

These products not only reduce pollution caused by open burning or landfills, but also support local economies, especially in rural areas, and are a key element in Malaysia's goal to create a low-carbon and circular economy, in line with national plans such as The 12th Malaysian Plan (12MP) undNational Agricultural Commodities Policy (DAKN) 2021—2030.

National plan to expand biomass potential in Malaysia

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The government has launched National Biomass Action Plan 2023—2030 To coordinate and accelerate progress, it is a roadmap for transforming biomass into an integrated economic engine, focusing on five key sectors: agriculture, forestry, crops, livestock, and fisheries.

Ensure responsible use of palm oil biomass through sustainability certificates

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launched Biomass holding chain (MSPO CoC) In March 2022 within the framework of Malaysian Sustainable Palm Oil (MSPO) certification To ensure:

• That biomass comes from documented sustainable sources.
• The possibility of tracking the entire chain from harvest to the final product.
• Transparency for local buyers and global investors.
• Enhancing credibility in environmental, social and governance (ESG) standards.

I started a certificate MSPO As a voluntary initiative, the government made it mandatory in May 2017, with full compliance due by January 1, 2020, to include all palm oil plantations, organized holdings and mills.
The standards were updated in MSPO 2022 or MSPO 2.0 To promote environmental, social and economic aspects in line with global standards, while including certification requirements for smallholder farmers, farms, mills, processing facilities and traders, to ensure full traceability within the MSPO framework.

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Source: says