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@ green | May-June. 2026
Biomass: The circular advantage
� Agricultural residues such as empty fruit bunches, palm kernel shells and palm oil mill effluent can be converted into renewable energy, biofuels and other highvalue products, supporting a circular economy.
�By replacing fossil fuels, reducing methane emissions and improving resource efficiency, biomass helps industries lower their carbon footprint while advancing sustainability goals.
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�Supportive policies, technological innovation, investment and strong partnerships across government and industry are essential to transform biomass into a major driver of green growth and energy security.
FOR many years, agricultural residues were simply dismissed as waste. Empty fruit bunches( EFB), palm kernel shells( PKS), fibre, and other biomass streams were often treated as by-products that required additional management at an additional cost. Today, that perspective is changing rapidly. Around the world, businesses and governments are increasingly recognising that biomass is not waste. Instead, it is a valuable resource that can help build a more circular economy, where waste is kept in extended use and value is recovered from discarded streams.
The palm oil industry provides one of the clearest opportunities.
Unlike many industries where waste is difficult to recover, palm processing generates substantial volumes of biomass that can be repurposed in multiple ways. Fibre and shells can be burned as renewable fuel in mill boilers to reduce dependence on fossil fuels.
EFB can return to plantations as organic mulch that helps to improve soil health and moisture retention. Palm oil mill effluent( POME) can be converted into biogas and recycled as a renewable energy source.
These practices illustrate an important principle of the circular economy: one process ' s output can become another process ' s input.
The potential of biomass, however, extends
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beyond these traditional applications.
Advances in technology are creating new opportunities for biomass to support lowcarbon development through bio-compressed natural gas( BioCNG), renewable fuels, biochar and even feedstock for sustainable aviation fuel( SAF).
New applications continue to emerge as companies search for practical pathways to decarbonise their operations and reduce their environmental footprint.
From a sustainability perspective, biomass offers several distinct advantages.
First, it supports resource efficiency: Every tonne of biomass converted into useful products represents a better use of natural resources. Rather than extracting additional raw materials, companies can generate value from resources already present in their production systems.
Second, it contributes to climate action: When managed responsibly, biomass helps reduce greenhouse gas( GHG) emissions on two fronts: displacing fossil fuels and preventing methane emissions from untreated organic waste streams. This matters more than ever as industries search for practical and economically viable solutions to support their decarbonisation journeys.
Third, it creates new economic opportunities: The circular economy is not only about environmental benefits. It is equally about building new value chains. The development of biomass-based products and renewable energy projects has the potential to attract investments, create jobs and generate additional income streams for businesses and local communities.
For countries like Malaysia with substantial agricultural industries, biomass can become an important pillar of energy security and industrial development.
Realising this potential, however, demands a balanced and thoughtful approach.
BY DANNY CHUA
Deputy President of Group Operations Mewah Group( Also a Founding Member of MAPAN)
“ For countries like Malaysia with substantial agricultural industries, biomass can become an important pillar of energy security and industrial development. "
Biomass utilisation must be both commercially viable and environmentally sustainable. Not every application will make economic sense, and therefore, technological solutions need careful evaluation. Infrastructure, logistics and regulatory support all shape whether projects can succeed at scale.
Collaboration is equally essential. Governments, industry players, technology providers, and financial institutions each play a role in building a robust biomass ecosystem.
Policies that encourage innovation and investment can accelerate adoption and unlock new opportunities across the value chain. As we look ahead, the very concept of waste is being redefined.
The circular economy challenges us to rethink how we produce, consume and manage resources. It calls on us to move away from the traditional linear model of " take, make and dispose " and instead design systems that continuously regenerate value.
Biomass embodies this philosophy remarkably well.
For the agricultural sector, biomass is more than an environmental initiative. It is an opportunity to turn waste & residues into useful resources, convert challenges into solutions and transform environmental responsibility into economic value.
The transition towards a circular economy will not happen overnight. It requires investment, innovation and long-term commitment. Nevertheless, the direction is increasingly clear; as technologies mature and sustainability expectations continue to rise, biomass will likely play an even more important role in supporting the transition towards a low-carbon and resource-efficient future.
Perhaps the biggest lesson from biomass is also the simplest- what we treat as waste today may prove to be one of our most valuable resources tomorrow. – @ green