Thursday, September 26, 2019

The Momentum of Energy Plantation Won't Be Long Anymore

As world oil prices have risen (once reached $ 30 / barrel in early 2016) and also the pressure due to environmental damage from fossil burning, the use of renewable energy, especially biomass, is gaining more attention. A number of biomass is widely used for energy sources such as palm kernel shells (PKS) and wood pellets. The better characteristics of biomass fuels will be increasingly sought after and used. The more widely used means the more limited availability, so it needs to be made available. As a renewable energy source, it is certainly not difficult to provide this type of energy. The order of supply of biomass fuels will depend on the demand, availability and production process. For example, in terms of large demand, palm kernel shells are abundant and the production or processing process is easy so that it can be used very easily, making it a top priority. While wood pellets, despite the high demand and availability of raw materials, are abundant, they require a production process that is not simple, making it a second priority. About the use of empty fruit bunches (EFB) and palm trunks can be read here, here and here. Furthermore, a number of biomass wastes from plantations such as palm oil empty fruit bunches, trunks and fronds are also abundant will be the next priority.
Although the energy plantation requires a longer route, it is believed that soon it will find its momentum. That is because with energy plantation other than supply capacity is more stable and guaranteed also the ability to supply up to decades. The security of the supply becomes vital for a production process such as wood pellet production, as well as to end users such as power plants. Indonesia with a tropical climate and vast land available makes the potential for the development of energy plantations very potential and strategic. It only takes 1 year to produce wood from energy plantations in Indonesia while it takes 4 years in sub-tropical countries. Although energy plantations are likely to be the last choice after the utilization of a number of agricultural waste which is still abundant at this time, it is believed that it will not be long before many will be developed and there are already a number of companies that have plan on this.
The development of energy plantations also has advantages in the form of environmental benefits namely increasing soil fertility, water conservation and carbon sequestration. Another benefit of the energy plantations is the food sector, particularly through sheep / cattle ranching and honey beekeeping. Indonesia's low supply of meat requires supplies from within the country and also its large export opportunities. Leaves from the energy plantations can be a source of animal feed and grazing fields are made in the same location, to make it clearer here. Optimizing the energy plantation with the integration of livestock so that there is a kind of mutual dependency relationship will provide optimal benefits as well, both economically, socially and environmentally. The development is a comprehensive approach, as the best approach to achieve the best environmental benefits and balance and not a partial development that tends to damage the environment itself. Let us together create this opportunity while capturing and working on it. More systematically and comprehensively, following a number of indicators that are driving the acceleration of the implementation of the energy plantations:
1. Demand for biomass fuels from the international market is getting greater along with awareness about the environment and climate change. And in Asia, Japan and Korea are the biggest consumers / users of biomass fuels, especially wood pellets, and Europe is also the next largest user. Regarding the characteristics of the Korean and Japanese markets in importing wood pellets, there is a slight difference for more details can be read here.

2. The weakening of the economic sector in Indonesia due to not being independent and highly dependent on foreign debt in building infrastructure and the domestic economy. This can be seen from the low economic growth of around 5%, bankruptcy and the destruction of state companies including strategic industries and high unemployment.

3. Investment for energy plantations and wood pellet production is much cheaper than palm oil plantations,in addition it only takes a short time, namely one year to be able to produce for the energy plantations. Production of wood from timber trees takes decades to be harvested, so practically there is no income for decades. For this reason, new business opportunities in the strategic sector, especially energy, forestry and food are a new concern especially with smaller investments and long-term orientation.
4. With its tropical climate, Indonesia has the potential to develop energy plantations, even better than the potential of solar photovoltaic or solar energy, for more details, you can read here. Technically, energy plantation cultivation is also easier and faster than oil palm plantations and the like. But Sri Lanka may be ahead of Indonesia about this, in more detail read here.

5. Energy plantations will absorb CO2 or greenhouse gases from the atmosphere, resist soil erosion, conserve water and fertilize the soil. Environmental benefits are very valuable.

6. Integration with ruminants (sheep & cattle) and honey beekeeping will optimize the use of the land, there will be an environmental balance with the use of livestock manure for energy plantation fertilizer and encourage self-sufficiency in meat (read: government imports 100,000 tons of buffalo meat and if the wood industry pellets 100% foreign controlled) so that the use of energy plantations for wood pellet production & integration with these farms is one of the efforts to avoid or prevent excessive foreign control over lands in Indonesia that do not favor the majority of Indonesia's population itself.

7. The number of idle lands, marginal lands and critical lands that need to be immediately utilized as energy, food, environment, labor and social solutions.

8. As an entry point to enter the era of bioeconomy which will soon replace the era of fossil economy.

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