Benefits of Palm Oil Company When Produce Biochar

There are at least four things that become motivation for biochar production, namely as in the chart above. There are a number of slices that make the impact of biochar application multi-benefits, which is very much in line with today's world problems, namely climate change and global warming. Biochar has also been accepted as an instrument to reduce the concentration of CO2 in the atmosphere which causes the two big problems above, namely in 2018 biochar was included in the Intergovermental Panel on Climate Change (IPCC) as one of the negative emissions technologies (NETs). Biochar application is a carbon negative scenario because biochar can absorb CO2 from the atmosphere. This is slightly different from the use of biomass fuels such as wood pellets, wood briquette and palm kernel shell (PKS) in industrial boilers or power plants, which are carbon neutral scenarios. Indeed, basically there are 3 big scenarios to reduce the concentration of CO2 in the atmosphere, namely increasing the efficiency of equipment that uses fossil fuels, using carbon neutral fuels and carbon negative scenarios such as biochar.

Palm oil trees are known to require a lot of water and fertilizer to maintain the life sustainability and productivity of their fruit, so practical efforts in the form of increasing fertilizer nutrient efficiency and increasing fruit productivity are important. Besides that, palm oil mills produce a lot of biomass waste, especially empty fruit bunches (EFB ) and mesocarp fiber, which are very potential for biochar raw materials. The biochar is then applied in palm oil plantations which can be used with chemical fertilizers or with compost / organic fertilizers.

Pyrolysis and gasification technologies are commonly used for the production of the biochar. Apart from producing biochar by pyrolysis or gasification, energy is also produced which can be used for the business development of the palm oil industry or for electricity production. Production of PKO (Palm kernel oil) from kernel processing at KCP (kernel crushing plant) or production of torrefied PKS from PKS processing with torrefaction can be done by utilizing excess energy from the production of biochar. Most of the palm oil mills or CPO mills do not have kernel processing or KCP to produce PKO. And by making torrefied PKS, the caloric value of PKS will increase, it is easy to downsizing (increased grindability), for example in the use of cofiring and does not absorb water (hydrophobic property). In general, palm oil mills will have many advantages, both economically / financially and environmentally, with this biochar production.

Apart from being used for business development like the diagram above, excess energy from pyrolysis or gasification can also be used as boiler fuel in the palm oil mill. In this way the energy to heat the boiler, which is usually with palm kernel shell and mesocarp fiber, can be replaced by energy from pyrolysis or gasification. After that, all of the palm kernel shells / PKS can be sold or exported, thus providing additional profits for the palm oil company. The need for biomass fuel, especially palm kernel shell / PKS, is predicted to increase, both in the domestic market and in the export market. Japan is currently the largest consumer or user of palm kernel shells and it is predicted that the demand will also increase. Japan will also impose stricter standards on imports of palm kernel shells to ensure environmental sustainability by applying the GGL (Green Gold Label) certification which will be effective starting April 2023. This is like the wood pellets with FSC certification. If anyone is interested in an economic analysis of the use of biochar in palm oil business, please contact us.

Fertilizer Savings in Palm Oil Plantations with Biochar and Compost from Biogas Waste

Although Indonesia is the largest CPO producer in the world with an area of ​​approximately 13 million hectares of palm oil plantations, but it is estimated that less than 10% have a biogas facility from POME (Palm oil mill effluent). Whereas by utilizing POME for biogas production, besides being able to be converted into electricity or heat, it also produces organic fertilizer in the form of compost and liquid organic fertilizer. The compost can be used as fertilizer in oil palm plantations, where the cost of fertilizer for palm oil operations is the highest cost component. It is estimated that every 10,000 hectares costs approximately Rp. 35.75 billion (around US$ 2.25 million) for fertilizer and for more details, you can read here. The use of compost will certainly reduce the need for fertilizer.

Palm oil utilization scheme for optimizing CPO production

Besides that, solid wastes such as palm oil empty fruit bunch, fiber and palm oil frond are also very potential for the production of energy (electricity and heat) and biochar. Energy production in the form of electricity and heat is by burning pyrolysis byproducts in the form of syngas and biooil into the furnace to heat the boiler. And because the syngas and liquid fuels used in the furnace, so that the combustion process is more perfect and clean emissions. Steam generated from the boiler will then drive the steam turbine and generator so as to produce electricity. Low pressure steam from steam turbine is then used for sterilization or boiling the fresh fruit bunches (FFB). While biochar will be used together with compost and chemical fertilizers to make fertilizer effective in the palm oil plantations so that it becomes a slow release fertilizer. Costs for fertilization are also expected to be significantly reduced, for example by up to 50% by this way. Although biochar is not a fertilizer, it has a function that makes fertilizer use effectively because it holds fertilizer nutrients from leaching, for example from rain water, also maintains moisture and so on.

PKS (palm kernel shell) can even be sold or exported. This is because previously or in general the palm kernel shells used to fuel boilers with fiber, have been substituted with products from the pyrolysis process namely syngas and biooil. The need for palm kernel shells for both the domestic / local and export markets continues to increase all the time. Palm kernel shells / PKS are environmentally friendly fuels because they come from biomass so they are carbon neutral fuels. The use of PKS as a fuel is widely used by a number of industries starting as a heat source for the drying process such as spray dryers in detergent and ceramic plants, boilers in food industries such as soy sauce factory, to power plants such as in Japan, can be read in more detail here. In the world of biomass fuel commodity trading, especially in the international market, PKS is the main competitor of wood pellets. Although the specifications are not much different, the price of PKS is also cheaper because it comes from palm oil mill waste and does not need complex processing units such as wood pellets. And basically with the scheme of utilizing palm oil mill wastes as above, it will maximize the profit from the palm oil mill or CPO mill. 

Which is Better, Efficient Boiler or Pyrolysis System ?

Fiber and palm kernel shells (PKS) are palm oil mill solid wastes that are produced in CPO production in that mill. The amount of fiber and PKS waste is quite a lot, which is around 20% of each fresh fruit bunch (FFB) or almost the same as the CPO produced. A palm oil mill with a capacity of 60 tons / hour FFB can produce fiber as much as 8.1 tons per hour or 194.4 tons per day and PKS of 3.3 tons / hour per hour or 79.2 tons per day. And because both of them are waste, generally the utilization of the waste is not initially considered, including for use as fuel in boilers in palm oil mills for the production of electricity and steam. The use of fiber and PKS for boiler fuel generally uses 100% fiber and about 30% of the PKS. Under these conditions the remaining 70% of the PKS can be used for other things including being sold or even exported.

When the shell becomes a commercial commodity and demand is greater, palm oil mills replace their old inefficient boilers with new boilers that have a high level of efficiency. In this way, 100% of the PKS is no longer used to boiler fuel and only requires fiber as fuel. In this condition a paradigm shift in thinking begins to occur, that is when the solid waste is almost unnoticed and tends to be considered a problem, then it becomes an important part of earning additional income and it can even be estimated that if the shell is successfully sold then it is sufficient to cover the operational costs of the palm oil mill. Certainly something interesting if the production of CPO (crude palm oil) with 0% operational costs so that profit is increasingly attractive especially amid the recent decline in CPO prices.

Another thing that can be done is to use a pyrolysis unit, to run the boiler. With pyrolysis, not only fiber is used but also the empty fruit bunch (EFB). EFB are solid palm oil mill waste which to date have generally not been utilized. Besides producing energy, pyrolysis also produces products in the form of charcoal (biochar). Although charcoal (biochar) can also be used for energy sources, but in the business of palm oil companies the use of biochar for plantations can be more compatible. The use of biochar in palm oil plantations is mainly to  fertilizer saving, which is one of the major cost components (around 30%) in the CPO production business. With an area of ​​20 thousand hectares of oil palm plantations, fertilizer costs are estimated to reach Rp. 71.50 billion (around US$ 5 million) per year or Rp. 35.75 billion (around US$ 2.5 million) per year for every 10,000 hectares, for more details, please read here. Palm oil mills with big vision certainly try to maximize their potential with the aim of maximizing profits from upstream to downstream production activities. With Biochar can also target the increase in productivity of FFB, for more details, please read here.

The application of biochar will be easier to do in Indonesia than in Malaysia, this is because almost all palm oil mills in Indonesia also have palm oil plantations while in Malaysia the mills generally do not have their own palm oil plantations. The palm oil industry also has an important role for the two countries because Indonesia and Malaysia are the largest CPO producers and owners of biggest palm oil plantations in the world today. The palm oil industry contributes around 7% of Malaysian GDP and 3% of Indonesian GDP, so its role cannot be ignored. Both with pyrolysis and high efficient boilers, biomass waste can be used as an energy source and 100% of the PKS can be commercialized, but with pyrolysis is better because waste of EFB can also be processed, there are biochar product (while only ash if only with regular combustion) for Fertilizers saving in the palm oil plantations and the exhaust gases from the palm oil mill boilers are also clean because they burn gas (syngas) produced from the pyrolysis process. 

The Big Vision of the Palm Oil Mill: Not Only Generating Electricity with Steam Turbine Generators but also Biochar and Bio-Oil

At the palm oil mill, electricity is generated from a steam turbine generator so a water treatment unit is needed to provide boiler feed water and a boiler unit to produce steam. The specifications of the steam produced are superheated steam with a pressure of 30 bar or equivalent to a temperature of 240 C. The steam then powers the turbine and drives the generator to produce electricity. Steam that comes out of the turbine with a decrease in temperature and pressure is not thrown away, but is used for steamming fresh fruit bunches (FFB) in the sterilizer unit. That is the reason why electricity production in palm oil mills uses steam turbine generators, even though actually producing electricity does not have to use the steam turbine. There are a number of technologies that can be used for electricity production.

The boiler fuel for steam production also does not use fossil fuels but uses palm oil mill waste itself (mesocarp) fiber and palm kernel shell (palm kernel shell). This is what makes palm oil mills very environmentally friendly in terms of their use of energy sources because they use biomass fuels, namely solid waste in the form of (mesocarp) fiber and palm kernel shells. Judging from the environmental aspects of the use of biomass fuel is carbon neutral, so it does not add CO2 in the atmosphere. Environmental issues are very prevalent today due to a number of environmental damage, to the peak of climate change and global warming. This encourages various industrial activities to increasingly pay attention to these environmental aspects.

When a palm oil mill uses its biomass waste as fuel to produce electricity and steam for the operation of the plant and it produces waste or residue in the form of ash, that is something that is common to almost all palm oil mills today. But when the palm oil company has a bigger vision, what is produced besides electricity and steam is biochar, not ash. Why Biochar? Although the management of the palm oil company that separates the plantation and mill divisions is common, the implementation of biochar is also expected to make a better reciprocal relationship. At present the palm oil fruits or fresh fruit bunches are supplied to the mill for oil extraction, so when biochar is produced by the mill the biochar will be supplied nto the  plantation to increase the productivity of the palm oil fruits. When a palm oil company will optimize its CPO products it also means maximizing the productivity of its palm oil  fruit. Palm  oil fruits productivity can be maximized if the cultivation aspects are also maximum. Biochar can be used to maximize fertilization and even reduce the use of fertilizers in oil palm plantations which amount to tens of billions of rupiah, for more details, please read here.

Are there palm oil mills that dare to take up the challenge? God knows Nature. But oil palm companies that have a big vision and understand the importance of increasing the productivity of oil palm fruit in line with environmental aspects, should be challenged with this. Oil palm companies that have big visions will also see this as an effective (pro-planet) environmental solution. This is because besides having a positive effect on the productivity of oil palm, also with environmental aspects. The application of biochar is carbon negative, so that CO2 in the atmosphere will be absorbed into the pores of the biochar, thereby reducing greenhouse gases in the form of CO2 in the atmosphere. When tens to hundreds or even thousands of tons of biochar are applied to palm oil plantations, so much CO2 in the atmosphere is absorbed into the soil. Biochar can also survive tens or even hundreds of years so that the carbon content in the soil increases or is not damaged along with the productivity of the palm oil plantation.

In addition to the production of biochar with continuous pyrolysis also produced biooil which can also be used as fuel or processed into various other biomaterials. With characteristics close to crude oil, it also means that all materials that can be produced from crude oil can be produced with biooil. Another application of biooil is for blending with ship oil (marine fuel oil). Other liquid products in the form of biomass vinegar, its use is also very supportive in palm oil plantations, namely as bio-insecticides and bio-pesticides. Rats that attack many palm fruit can also be overcome with the vinegar biomass, for more details, please read here.

EFB Biochar and Fertilizer Savings in Palm Oil Plantations

High palm oil plantation productivity and high oil yield has always been a goal in the palm oil business. The nutrient estimates needed to produce 25 tons of FFB / ha / year were 192 N, 11 P, 209 K, 36 Mg, and 71 Ca in kg / ha / year. With the production of 25 tons of FFB / ha / year palm oil or CPO crude will produce around 6.5 tons (25% of FFB). Analogy in the field of animal husbandry where the feed component holds 75% of production costs or is the highest cost component, as well as fertilizer, especially in palm oil plantations. Fertilizer is the most expensive cost or 60% of total maintenance costs. To achieve this productivity, the calculation practically of the need is more or less as follows: an afdeling with an area of ​​1,000 hectares with 1 hectare consisting of 143 trees, so there are 143,000 trees of palm oil. If the dose per tree is 2.5 kg, then the fertilizer needs are 357,500 kg (357.5 tons), with the price of non-subsidized chemical fertilizers for example Rp 10,000 / kg, the cost incurred is 3,575,000,000 (Rp. 3,575 billion or US$ 238,333). If an area of ​​10,000 hectares means fertilizer needs of Rp. 35.75 billion (US$ 2,383,33), whereas if the oil palm plantation is 20,000 hectares, it will reach Rp. 71.50 billion (US$ 4,766,667). Of course an amount that is not small.

The question is what efforts can be made to reduce fertilizer costs but increase palm productivity. One contradictory thing seems to be because it reduces the supply of fertilizer but expects high productivity. This is where we need to examine and explore the facts that occur in the field. With a tropical climate and high rainfall, it makes large leached fertilizers. A condition, for example in hilly and bumpy areas, when the rain falls, the fertilizer that is washed is very large, even in vain fertilization is done because it is not absorbed by the palm trees as the target. The high level of leaching from the use of fertilizers by rainwater makes only available a small amount of available fertilizer in real terms or a number of analyzes said averaging only 50%. With the available fertilizers there are only a few that are also automatically absorbed by the palm trees. When for example washing (leaching) can be reduced by only 30%, it means that the fertilizer that is still available becomes 70%, so that the fertilizer is absorbed more and more and the productivity of the palm oil fruit also increases.

The initial stage that can be done is the cost of the same fertilizer but the productivity of the palm oil fruit can increase up to for example 30%. Furthermore, if this can be achieved, fertilizer consumption will be reduced for example up to 30% but palm oil productivity can be maintained at that level. This is possible when biochar has become a microbial colony and the quality of the soil increases so that uptake of fertilizer is maximal. Biochar is one of the media that can be used for this. An empty fruit bunch that is widely available in palm oil mills and is generally not utilized as a raw material for biochar production. A palm oil mill with a production capacity of 60 tons / hour FFB will produce EFB 13.2 tons / hour so that if the palm oil mill operates 20 hours / day the EFB produced 264 tons / day. The production of biochar with pyrolysis can also produce liquid smoke which can also be used as fertilizer.

Why can biochar be used to increase palm oil productivity and even reduce fertilizer consumption? This is because biochar with its pores with a surface area of ​​about 200 m2 / gram can hold the fertilizer from washing, maintain moisture and many soil microbes that can live in these pores thus improving the physical and chemical properties of the soil. Biochar can last up to hundreds of years in the soil so it does not need to be added every year when the amount is sufficient. Biochar implementation can be started from small scale to massive scale. To process empty fruit bunches (EFB)  in the palm oil mill into biochar, a continuous pyrolysis equiment is needed, to be more clearly read here. To monitor the effectiveness of biochar on oil palm plantations today can use internet technology or IoT (Internet of Things) and for more details can be read here and here.