Under our Carbon Reduction Strategy, we have identified Biogas as the main driver for carbon emission reductions.

Biogas plants capture methane emitted from anaerobic wastewater treatment ponds that would otherwise be released into the atmosphere. We have estimated that the establishment of biogas plants at half of our current mills in Indonesia and Malaysia would enable us to reduce our total operational emissions by 40% by 2020. We have also set a mid-term target, to achieve 25% reduction in carbon emissions by 2016.

In 2009, we built our first Biogas plant, at the West Oil Mill in Carey Island, our research hub in Malaysia. This was followed by a plant in the Tennamaram Oil Mill in Selangor, Malaysia which was also one of the first plants to employ the open flare system. An open flare system ensures that there is no direct release of methane, which is 25 times more damaging than carbon dioxide.

Further to the success of the two plants, we are implementing the biogas system in 17 other mills which is targeted to be completed by 2015. An additional 9 mills will be identified for biogas implementation in 2016.
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