Optimization of oil palm empty fruit bunches value chain in Peninsular Malaysia

Empty fruit bunches (EFB) are valuable palm oil mill waste that could be used to produce multiple products in the form of energy, chemicals, and materials. Therefore, efficient utilization of these biomass resources is essential to optimize the profitability of the industry while addressing environmental issues. In this study, a decision-support tool is developed to perform economic and environmental analyses of the future expansion of the palm oil industry. The sequential steps in the modeling and optimization of the EFB value chain are discussed. This study consists of four processing stages: converting EFB into intermediates and products, transportation networks, direct sale of products, and further processing of products. The proposed tool includes a mathematical model that considers biomass, production, transportation, and emission treatment costs from transportation and production activities. The model is solved with the Advanced Interactive Multidimensional Modeling System to determine the maximum profit and analyze biodiesel production. Peninsular Malaysia is selected as a case study. Results reveal the significant economic benefits of EFB utilization. The most profitable cases of EFB utilization are Case A, C, and D, which have the same 47 % profit margin. The maximum profit of the selected utilization pathways in Case A is USD 151,822,904 per year based on different ownerships of all EFB processed, which is 79 % lower than the result of a previous study that ignores the capacity limitations of the respective processing facilities. The environment–food–energy–water nexus is also elaborated in this study. The conclusions are obtained based on the limitation, availability, and parameters or data used in this study

Optimization of oil palm empty fruit bunches value chain in Peninsular Malaysia

Empty fruit bunches (EFB) are valuable palm oil mill waste that could be used to produce multiple products in the form of energy, chemicals, and materials. Therefore, efficient utilization of these biomass resources is essential to optimize the profitability of the industry while addressing environmental issues. In this study, a decision-support tool is developed to perform economic and environmental analyses of the future expansion of the palm oil industry. The sequential steps in the modeling and optimization of the EFB value chain are discussed. This study consists of four processing stages: converting EFB into intermediates and products, transportation networks, direct sale of products, and further processing of products. The proposed tool includes a mathematical model that considers biomass, production, transportation, and emission treatment costs from transportation and production activities. The model is solved with the Advanced Interactive Multidimensional Modeling System to determine the maximum profit and analyze biodiesel production. Peninsular Malaysia is selected as a case study. Results reveal the significant economic benefits of EFB utilization. The most profitable cases of EFB utilization are Case A, C, and D, which have the same 47% profit margin. The maximum profit of the selected utilization pathways in Case A is USD 151,822,904 per year based on different ownerships of all EFB processed, which is 79% lower than the result of a previous study that ignores the capacity limitations of the respective processing facilities. The environment–food–energy–water nexus is also elaborated inthis study. The conclusions are obtained based on the limitation, availability, and parameters or data used in this study

Sustainable bio-economy that delivers the environment-food-energy-water nexus objectives::the current status in Malaysia

Biomass is a promising resource in Malaysia for energy, fuels, and high value-added products. However, regards to biomass value chains, the numerous restrictions and challenges related to the economic and environmental features must be considered. The major concerns regarding the enlargement of biomass plantation is that it requires large amounts of land and environmental resources such as water and soil that arises the danger of creating severe damages to the ecosystem (e.g. deforestation, water pollution, soil depletion etc.). Regarded concerns can be diminished when all aspects associated with palm biomass conversion and utilization linked with environment, food, energy and water (EFEW) nexus to meet the standard requirement and to consider the potential impact on the nexus as a whole. Therefore, it is crucial to understand the detail interactions between all the components in the nexus once intended to look for the best solution to exploit the great potential of biomass. This paper offers an overview regarding the present potential biomass availability for energy production, technology readiness, feasibility study on the techno-economic analyses of the biomass utilization and the impact of this nexus on value chains. The agro-biomass resources potential and land suitability for different crops has been overviewed using satellite imageries and the outcomes of the nexus interactions should be incorporated in developmental policies on biomass. The paper finally discussed an insight of digitization of the agriculture industry as future strategy to modernize agriculture in Malaysia. Hence, this paper provides holistic overview of biomass competitiveness for sustainable bio-economy in Malaysia