Zero-Waste Bioenergy to Lower Energy Transition Risks in Indonesia — A Circular Economy Practice on Methane Capture in Biogas Production from POME

Driven by the urgent need to address climate change, Indonesia, as the world’s largest palm oil producer, faces the challenge of ensuring the sustainability of this industry. This study addresses a critical gap in knowledge by examining the technological advancements in methane capture for bioenergy from palm oil mill effluent (POME), exploring business development applications, and assessing the potential role of methane capture in advancing Indonesia’s Enhanced Nationally Determined Contribution (NDC) targets. Employing both quantitative and qualitative methodologies, the study reveals three key findings. Firstly, a systematic literature review highlights a dearth of research on the social and economic aspects of utilizing biomethane gas, particularly in modeling contexts. Secondly, through case studies, the utilization of methane gas as an energy source is shown to significantly reduce electricity expenditures, diminish reliance on fossil fuels, mitigate carbon emissions, and expand access to clean energy for both companies and households. Thirdly, the scenario of converting POME waste into energy can help to reach the target on carbon emissions, but it depends on the level of waste utilization and capacity factor. By repurposing palm oil industry waste for clean energy production instead of expanding land use, which poses risks to biodiversity, Indonesia can mitigate the challenges of the energy transition and foster a more sustainable future.