Agribiomass ‘part of the solution’ for green energy

: Biomass
26/02/05

Agricultural residues can become "part of the solution" for green energy as demand for biogenic energy grows and sources of easily-available biomass remain limited, delegates heard at this week's Argus Biomass AsiaConference in Singapore.

A push to replace fossil fuels used to make heat and materials is spurring global demand for biomass, with Europe moving away from biomass-fired power generation and towards biomass-derived biofuels and value-added products, said Jens Wolf, founder of consultancy Voksigrene.

Asian biomass consumption remains focused on industrial power and heat.

Industrial users require large credible suppliers, but only limited volumes of woody biomass are available and the agricultural biomass market is maturing, Wolf said.

Malaysia-based Raw Energy plans to start commissioning hybrid tropical grass (HTG) pellets from napier grass near Bintulu in Sarawak state in the near future. The company grows napier grass on 1,000 hectares (ha) or 10km², with a 40,000ha land bank for expansion, Raw Energy chief operating officer Hector Ingram said.

Raw Energy's first project will have the capacity to produce 150-180 t/yr of bone-dry pellets. The firm aims to scale up HTG pellet output by building a factory to process up to 20,000ha of napier grass that would eventually meet demand from large-scale consumers.

Raw Energy was able to overcome logistical challenges by positioning its facilities near a river, along which barges can move the supply. It has secured Green Gold Label (GGL) and Sustainability and Carbon Certification (ISCC) certifications in the EU, allowing it to trade to Europe, Ingram said.

By Marta Imarisio

Related news posts

Argus illuminates the markets by putting a lens on the areas that matter most to you. The market news and commentary we publish reveals vital insights that enable you to make stronger, well-informed decisions. Explore a selection of news stories related to this one.

26/02/04

Biomass needed for steel decarbonisation: Kobelco

Singapore, 4 February (Argus) — Biomass is one pathway that cannot be ignored for the decarbonisation of steel manufacturing, the trading arm of Japanese steelmaker Kobe Steel (Kobelco) said at the Argus Biomass Asia Conference on 2-4 February. The steelmaking sector can "no longer ignore" the role of biomass as a viable pathway, in a context of tightening sustainability policies pressuring heavy industries to decarbonise, Kobelco Trading Australia marketing and resource trading manager Kazuyuki Nakamura said in Singapore. Japan's regulatory environment has accelerated sharply toward clearer timelines for emissions reduction in the past two years, and biomass is one of the few immediately deployable options. Decarbonisation "has to be very seriously considered" in steel production, Nakamura said. And biomass is one of the routes that companies "are already working on", he added. Kobelco is evaluating different feedstocks from forestry byproducts to agricultural residues as substitutes for fossil fuels. It plans to use torrefied pellets in its steelmaking process, in collaboration with cement manufacturer Mitsubishi Ube Cement (MUCC). MUCC has developed torrefaction technology to make 60,000 t/yr of torrefied pellets at its Ube factory. The Japanese steelmaker has also signed an agreement with Malaysian forestry company Samling Strategic to start producing torrefied pellets at a facility in Sarawak, Malaysia, with an initial production capacity 300,000 t/yr. The firms aim to scale up output to 1mn-2mn t/yr in the future. The Australian arm of Kobelco is targeting the development of both biochar and torrefied pellet production in Australia, Nakamura said. By Marta Imarisio Send comments and request more information at feedback@argusmedia.com Copyright © 2026. Argus Media group . All rights reserved.

Q&A: China needs to redefine biomass fuels for import

26/02/03

Q&A: China needs to redefine biomass fuels for import

Singapore, 3 February (Argus) — China's potential as a key biomass market in Asia hinges on the review of regulations that ban the import of solid waste into the country. The country has around 46GW of installed biomass power capacity. Standards and definitions for biomass fuel must be established before China can begin importing shipments into the country, executive deputy secretary-general at Biomass Energy Industry Promotion Association Liu Hongrong said on the sidelines of the Argus Biomass Asia Conference 2026. Could you share an overview of current biomass consumption in China? Currently, China's biomass consumption is already at an enormous scale. By the end of 2024, our installed capacity for biomass power generation hit 45.99 GW, and biomass-generated electricity output stood at 208.3 kWh. These make up the bulk of biomass energy consumption in China. In non-power sectors, biomass is also used for clean heating, biomethane and bio-liquid fuel. For these applications, the heat supply from biomass is approximately 489mn GJ, and biomethane output has reached 480mn m³. These are also the primary channels for biomass utilisation in non-power fields. What are the main types of biomass fuels utilised for power generation in the country? Are there any new emerging types of biomass? The power generation sector mainly relies on agricultural and forestry waste, municipal solid waste, and biogas or biomethane. From what I can see currently, there have not been any new types of biomass emerging yet. But traditional biomass feedstocks are undergoing continuous upgrading and development. For instance, loose agricultural and forestry residues are being processed into pellet fuels for utilisation. Has there been any progress on updating existing regulations to allow for the import of biomass into China? When it comes to biomass imports, China's laws are very clear on this — there is an outright ban on solid waste imports. Thus, any possibility of opening biomass imports must be based on clearly defining these products as renewable resources or environmentally friendly fuels, rather than solid waste. Currently, in line with the Implementation Opinions on Expanding Green Trade issued by China's commerce ministry in 2025, we can see that the policy sphere has signalled its encouragement for the import of high-quality renewable resources. I believe the top priority before any such feedstock imports can proceed is to build a standardised system for compliant biomass feedstocks — only then can we make real progress on biomass imports in China. What is your view on discussions between Russia and China on lifting pellet import restrictions? The discussions between China and Russia are exactly a concrete practical case of the aforementioned policy shift. The core significance lies in verifying whether we can successfully classify biomass pellets as environmentally friendly fuels by establishing mutually recognised product standards, and in turn circumvent the solid waste import ban. Right now, what we've observed is not that biomass imports have been opened, but that the key procedures for setting these standards have already been launched. Any future progress will be predicated on the official approval and implementation of these product standards — that is the defining precursor for all subsequent developments. Do you see any potential for China to become a major exporter of biomass to other markets? China's potential to become a major biomass fuel exporter lies in high value-added sustainable biofuels, like sustainable aviation fuel (SAF) and biomethanol. This potential is closely tied to innovations in trade policy. The key bottleneck right now is our import and export policy. These green products fall under the regulatory regime for refined oil exports, they can't be separately categorised because we lack independent tariff codes for them. But breakthroughs are already taking place. SAF has achieved compliant exports via the "white list" system, and it has been assigned its own exclusive tariff code starting in 2026. In contrast, biomethanol exports still need to resolve the issue of securing an independent tariff code. So, this process is in essence an innovation in the rules of green trade. The experience of SAF here shows that with precise policy design, China is moving from being a potential supplier to a key actual provider of green fuels for the global market. What will be needed for biomass to become a significant source of energy in China? To make biomass energy an important energy source for China, I believe the core is to shift from a "waste disposal" model to a "strategic green energy industry". We can work towards this goal in roughly five key areas. 1）Position upgrading: It needs to be clearly elevated from a role focused on solid waste utilisation to a strategic emerging industry. One that safeguards energy security and supports the dual carbon goals. 2）Driving force upgrading: The driving force for development should shift from relying on fiscal subsidies to leveraging market-based mechanisms. These include the carbon market, green power trading and zero-carbon energy certificates. This way, we can fully realise the green value of biomass energy. 3）Industrial upgrading: We need to overcome key bottlenecks. Such as the high costs of biomass feedstock collection, transportation and storage, and the low economic efficiency of conversion technologies. We should build an efficient and stable industrial supply chain, and shift from a single output of power and heat generation to diversified high value-added outputs. These outputs cover power, heat, gas, fuels and materials. 4）Application scenario upgrading: Application scenarios should expand beyond traditional power generation and heating. We need to focus on expanding into hard-to-electrify transportation and industrial sectors, like SAF and green methanol. This will enable the large-scale substitution of fossil fuels. 5）Regulatory upgrading: We need to establish an independent and transparent system of product standards, accounting, certification and trade rules. This addresses the issue of green identity verification and allows biomass energy to integrate into the domestic and international mainstream markets. In summary, the fundamental prerequisite is to drive the biomass energy industry to complete a profound transformation from a "waste disposal terminal" to a "modern industry". When the five pillars of resources, policies, technologies, markets and standards are established in a co-ordinated manner, its status as an important energy source will be naturally consolidated. By Nadhir Mokhtar Send comments and request more information at feedback@argusmedia.com Copyright © 2026. Argus Media group . All rights reserved.

Bio Eneco to supply PKS to Thailand’s Berkana Power

26/01/22

Bio Eneco to supply PKS to Thailand’s Berkana Power

Singapore, 22 January (Argus) — Malaysian palm kernel shell (PKS) producer Bio Eneco has signed an agreement to supply 10 shipments of PKS to Thailand-based energy firm Berkana Power. Bio Eneco will supply around 100,000t of Green Gold Label (GGL) certified PKS in 2026 under the agreement signed on 21 January. The cargoes will be shipped on vessels or barges, depending on purchase order requirements. Purchase orders will be made at least 90 days before the first day of loading. Berkana Power procures and sells a wide range of fuel including PKS, wood chips, wood pellets and coal from Thailand, Indonesia, Malaysia, and Vietnam. Pricing of PKS shipments will be reviewed every three months. The agreement comes with an option for automatic renewal, subject to negotiations between the two companies. Bio Eneco has similar supply agreements with Japan and Indonesia . It signed a 15-year pact with Japanese trading firm JFE Shoji's subsidiary in Malaysia in November 2024, to supply 150,000t of GGL-certified PKS. Bio Eneco signed another supply agreement for 150,000t of GGL-certified PKS with Indonesian biomass trading firm Orion in September 2024. By Nadhir Mokhtar Send comments and request more information at feedback@argusmedia.com Copyright © 2026. Argus Media group . All rights reserved.

Turkish biochar production plant starts up

26/01/21

Turkish biochar production plant starts up

London, 21 January (Argus) — The first two units of the Turkish bioenergy firm Kurtbey Enerji's biochar production plant in the western city of Edirne started operations in January. The plant is set to remove around 10,000t of CO2 equivalent (CO2e) annually from the atmosphere during its first phase. Kurtbey has applied for accreditation with carbon registry Isometric and expects to issue its first carbon removal credits in April 2026, the firm told Argus . Adding that the generated credits would have a permanence level over 200 years. Both units are now fully operational and the company aims to gradually build and bring on line 12 identical units in total by 2028, which would have a carbon removal potential of around 60,000t CO2e/yr combined. The two commissioned units have a capacity of 8 t/d of physical biochar production, fed by 24 t/d of agricultural biomass — namely rice husk and sunflower seed shells. The plant was "strategically" located in Edirne, near the border with Greece, which is one of the largest sunflower and rice production regions, to be able to source its feedstock fully locally. The plant was designed to operate independently from the grid, with most of the operational energy demand met through the syngas generated during the pyrolysis process, with pyrolysis oil planned to be integrated into the system in later phases, Kurtbey said. The facility holds the European Biochar Certificate, which will enable the physical biochar it produces to be used in agricultural and livestock applications across Europe. In the first six months of production, a part of the physical biochar produced will primarily be allocated to pilot applications in the seedling and nursery sector. And a significant portion of the biochar produced in the short term will be distributed free of charge to local farmers. As additional units are commissioned and production scales up, Kurtbey aims to sell biochar to the European markets, targeting agricultural and livestock applications. The company expects to receive stronger regulatory and financial support from the government for their carbon credits, due to the high permanence. By Erisa Senerdem Send comments and request more information at feedback@argusmedia.com Copyright © 2026. Argus Media group . All rights reserved.

Viewpoint: Japan to advance biocarbon usage: Correction

26/01/05

Viewpoint: Japan to advance biocarbon usage: Correction

Corrects the year when the factory started operations in paragraph 2. Tokyo, 5 January (Argus) — Japanese firms are expected to accelerate torrefied or heat-treated biomass, also known as biocarbon, fuel projects from 2026. Torrefied wood pellets have a significantly higher calorific value (CV) compared with typical wood pellets, although the higher CV comes at a higher price. Japanese energy company Idemitsu is set to carry out full-scale shipments of black pellets in 2026, which are produced at its factory in Vietnam, according to the company. The factory started commercial operations in October 2025 and has 120,000 t/yr of production capacity. The torrefied biomass fuel will be delivered to consumers including Japanese utilities, which are planning to begin coal and black pellet co-firing generation at thermal power plants. Idemitsu has provided black pellet test products to around 20 customers in Japan so far, including power producers and other industries. It is possible to co-fire 35pc of black pellets with coal, the company said. It aims to expand its production capacity and is considering constructing new factories in Indonesia, Malaysia, and the US, in addition to Vietnam. Idemitsu's final target is 3mn t/yr of total production capacity in the 2030s, using locally secured biomass feedstocks. Idemitsu's current production capacity of black pellets is insufficient to satisfy potential demand in the future, the company said. A Japanese utility is planning 20pc of black pellet co-firing with coal at its 600MW unit, and another utility is considering 10pc co-firing at its 700MW unit. These two co-firing projects will likely drive several hundreds of thousands of tons of black pellet demand, according to market participants. Black pellets have a higher CV than normal wood pellets. They have better water resistance and grindability, and can be handled in a similar way to coal without major facility renovations. But black pellets are usually more expensive than coal and typical biomass fuels, at around double the price of wood pellets or even higher, market participants said. Other projects A joint venture project led by construction firm Kumagai Gumi and trading house Shinko Shoji is also planning to start producing black bark pellets at a factory, which they are constructing in western Japan's Ehime prefecture, in the fourth quarter of 2026. The factory is designed to have 30,000 t/yr of production capacity, using domestically secured bark materials. Black bark pellets have a CV of 5,000-6,000 kcal/kg, which is close to coal. The material will be used mainly for coal and biomass co-firing power generation in Japan. Trial products from the project have already been tested at Japanese thermal power plants. The companies plan to build more black bark pellet factories in Japan, each with a production capacity of 30,000 t/yr. New factories in southeast Asia are also on the cards. The firms have already developed test products made from Vietnamese acacia and conducted trial co-firing combustion with coal at a Japanese thermal power plant, they said. Steel and metals industry usage Japanese cast iron firm Aisin Takaoka started producing biocoke from palm kernel shells (PKS) at its factory in Indonesia in December 2025, and will start using the heat-treated biomass fuel in its cast iron melting furnace to replace coking coal in the first quarter of 2026. The factory, which Aisin Takaoka operates with Indonesian palm oil firm Triputra in the country's West Kalimantan state, currently has 15,000 t/yr of production capacity. The firm aims to increase the capacity of this biocoke project to 90,000 t/yr around 2031 with new factories. Aisin Takaoka is considering selling around a half of the products to other companies, including automobile, machinery manufacture, and cast iron firms. The other half will be for its own use. The biocoke has similar CV with coking coal and could replace 100pc of coking coal, the company said. Around 3-4t of PKS is needed to produce 1t of biocoke. Japan's Kobe Steel (Kobelco) is planning to use black pellets in its steelmaking process, in collaboration with cement producer Mitsubishi Ube Cement (MUCC). The companies are expected to set up a joint venture for this project in 2026. MUCC has developed torrefaction technology to produce black pellets. Kobelco aims to use MUCC's black pellets in steelmaking at its blast furnace in the Kakogawa steelworks. MUCC has a production capacity of 60,000 t/yr in its Ube factory. MUCC's black pellets have been co-fired with coal in its thermal power plant since 2019. By Takeshi Maeda Send comments and request more information at feedback@argusmedia.com Copyright © 2026. Argus Media group . All rights reserved.

Business intelligence reports

Get concise, trustworthy and unbiased analysis of the latest trends and developments in oil and energy markets. These reports are specially created for decision makers who don’t have time to track markets day-by-day, minute-by-minute.

Learn more

Agribiomass ‘part of the solution’ for green energy

Related news posts

Biomass needed for steel decarbonisation: Kobelco

Biomass needed for steel decarbonisation: Kobelco

Q&A: China needs to redefine biomass fuels for import

Q&A: China needs to redefine biomass fuels for import

Bio Eneco to supply PKS to Thailand’s Berkana Power

Bio Eneco to supply PKS to Thailand’s Berkana Power

Turkish biochar production plant starts up

Turkish biochar production plant starts up

Viewpoint: Japan to advance biocarbon usage: Correction

Viewpoint: Japan to advance biocarbon usage: Correction

Argus North American Long-Term Electricity Forward Curves

Argus North American Long-Term Electricity Forward Curves

Argus North American Long-Term Electricity Forward Curves

Argus North American Long-Term Electricity Forward Curves

Argus Carbon

Argus Low Carbon Hydrogen Strategy Report

Argus Hydrogen and Future Fuels

Business intelligence reports