Indonesian Political, Business & Finance News

Nagata Bio Energi participates in carbon market through Sukadamai biogas project

| | Source: MEDIA_INDONESIA Translated from Indonesian | Energy
Nagata Bio Energi participates in carbon market through Sukadamai biogas project
Image: MEDIA_INDONESIA

PT Nagata Bio Energi (NBE), a subsidiary of PT ABM Investama Tbk, continues to drive the creation of a green economy by developing renewable energy based on organic waste, particularly Palm Oil Mill Effluent (POME), through technological innovation and community empowerment. This effort aligns with Indonesia’s Sustainable Development Goals (SDGs) and contributes to decarbonisation efforts towards the Net Zero Emission 2060 target.

Previously, palm oil mill waste in the vicinity of Suka Damai Village, Tanah Bumbu, South Kalimantan was often perceived as an environmental problem. Pungent odours and concerns about pollution were part of daily life for residents. Now, the situation is beginning to change, with palm oil waste becoming a source of electrical energy, opening new economic opportunities whilst delivering tangible benefits for the environment and local communities.

As developer of the Sukadamai Biogas Project, NBE processes pure palm oil mill effluent into methane gas, which is subsequently converted into clean electrical energy. The facility, located in Suka Damai Village, Tanah Bumbu, has been operating commercially since August 2020 under a Build–Operate–Transfer (BOT) partnership scheme lasting 15 years with the POME supply partner company.

Director of PT Nagata Bio Energi (NBE), Doni Syamsurianto, stated on Saturday, 28 February that the development of renewable energy is oriented not only towards technology but also towards the social impact felt by communities. “We want to ensure that clean energy also delivers direct benefits to the environment and local communities. Waste that was previously a problem has now become a valuable resource,” he said.

In its operations, the project processes an average of approximately 129,331 cubic metres of POME annually through a process that converts POME into biogas and subsequently into renewable energy. The green electricity generated has reached 30,244 MWh over a three-year period and is supplied stably 24 hours a day to the PLN network as offtaker, strengthening the contribution of clean energy to the national electricity system.

On the environmental side, the resulting impact is also significant. During the 2021 to 2023 period, the Sukadamai Biogas Project recorded verified emission reductions of 121,919 tonnes of CO2e, with average annual emission reductions reaching 40,638 tonnes of CO2e. This figure is equivalent to the annual emissions of more than 8,000 petrol-fuelled passenger vehicles. This achievement equates to 82% of the total projected emission reduction target of 147,456 tonnes of CO2e.

The contribution to emission reductions stems from waste management and the substitution of fossil fuels through biogas. All achievements have obtained a Certificate for Greenhouse Gas Emission Reduction (SPE-GRK) in the National Registry System (SRN). This initiative also aligns with Indonesia’s commitment in the Second Nationally Determined Contribution (SNDC) presented at COP-30, which affirms the direction of national emission reductions towards Net Zero Emission by 2060 at the latest.

NBE’s role in decarbonisation also extends to the development of the national carbon market. Since February 2026, the company has officially participated in the IDX Carbon trading platform and has affirmed NBE’s position as one of the pioneering private sector players in developing carbon credits based on palm oil waste management. A public exposure regarding this participation was conducted on 12 February 2026, marking a strategic step by NBE in opening opportunities for the monetisation of emission reductions whilst strengthening the domestic carbon economy ecosystem.

The commitment being implemented by ABM Group together with PT Nagata Bio Energi (NBE) has received appreciation with the achievement of the Change the World 2025 award from Fortune Indonesia for its contribution in driving the transition to clean energy and sustainable business practices. Going forward, the model of converting waste into energy is targeted to be replicated in various other potential regions, broadening positive impact for communities and the environment.

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