PLTBg Becomes PalmCo's Key Asset in Reducing Energy Costs Amid Global Turbulence

Subholding PTPN III (Persero), PTPN IV PalmCo, is relying on renewable energy sources (EBT) based on palm oil waste to reduce dependence on fossil fuels. The President Director of PTPN IV PalmCo, Jatmiko K. Santosa, stated that this is a proactive step to seek alternative strategies to maintain operational stability amid the uncertainty of fossil energy prices due to global geopolitical dynamics.

“Through the utilisation of palm oil mill effluent (POME), the company has been operating biogas power plants (PLTBg) as the main energy source for the factory,” said Jatmiko in a written statement on Thursday (16/4/2026).

Jatmiko explained that this initiative is not a short-term response to energy price surges but part of the company’s long-term strategy that has been underway for some time. He noted that developing EBT is the right step in facing global fossil energy price fluctuations.

“PLTBg helps us reduce dependence on diesel, while also maintaining operational cost efficiency,” Jatmiko continued.

Currently, said Jatmiko, PalmCo operates two power plants using palm oil liquid waste, namely PLTBg Terantam and PLTBg Tandun. He explained that PLTBg Terantam and PLTBg Tandun use covered lagoon technology to process liquid waste into biogas, which is then converted into electricity.

“All the energy produced is directly absorbed to support the operations of the Palm Oil Mill (PKS) PPIS Tandun and to reduce the use of fossil fuels,” Jatmiko added.

Based on company data, continued Jatmiko, the utilisation of energy from both biogas plants has significantly replaced the use of diesel-fuelled generators. Jatmiko stated that the company has successfully reduced diesel consumption by more than 2.6 million litres over the period from 2023 to 2025.