Utilization of Palm Oil Mill Effluent – Avoiding CH4 emission

PT Agricinal, Bengkulu - Indonesia

PROJECT IDEA NOTE

1. GENERAL INFORMATION

1.1 Candidate data

Company: PT Agricinal

Name: Mr. Nelson M. Manurung

Visiting address, zip code + city, country: PT Agricinal

Desa Sebelat
Kec. Putri Hijau
Kab. Bengkulu Utara
Bengkulu 38362
Indonesia

Postal address, zip code + city, country: PT Agricinal

Jl. Citarum no. 16
Bengkulu 38225
Indonesia

Website URL: -

Overall no. of Employees: 1,639

Company’s core business: Palm oil plantation ; crude palm oil and palm kernel oil production

Background of sector in which company has core business: Palm Oil (Agriculture)

Market position of company in this sector (market share, etc): Private Company
Professional or Trade Register:

Registration number: 03 / I / PMDN / 1985

City: Bengkulu

Date of registration: January 4, 1985

Contact person:

Name: Mr. Aprilianto Hari Nugroho

Title: S.T. (Bachelor Degree of Environmental Engineering)

Job title: Environmental Management Staff

Telephone number: 62 – 8117 39925

Fax number: 62 – 21 837 00759

E-mail: enviro_agricinal@yahoo.com or lingkungan@agricinal.com

2 PROJECT INFORMATION

2.1 Key data of project

Project Title: Utilization of Palm Oil Mill Effluent – Avoiding CH4 and CO2 emission.

Host Country: Indonesia

Location of project: Palm Oil Mill, PT Agricinal, Desa Sebelat, Kec. Putri Hijau, Bengkulu, Indonesia

Type of project : Wastewater management which contribute to the avoidance of CH4 and CO2
emissions

Abstract (maximum 100 words):

Wastewater from Palm Oil Mill process or Palm Oil Mill Effluent (POME) consists of heavy phase and
condensate that contain organic Suspended Solid (SS). In conventional wastewater treatment plant
using water stabilization ponds, the effluent will generate CO2 and CH4 emission through
decomposition process.

In 2002, PT Agricinal initiated to use decanter and ceramic membrane as effluent treatment units to
remove the SS in the heavy phase. Captured solids from the heavy phase will be processed through
fermentation and drying process to become cattle feed. The water containing low amount of organic
solids, which is the by-product of the wastewater treatment, will be used as liquid organic fertilizer to
be sprayed in the nursery.

The other effluent (condensate) will be stored temporarily in a settling tank. The separated water
from the condensate will be reused in the CPO production process.

(Expected) Date of go/no-go decision of project : January /2007

(Expected) Construction starting date and finishing date: Start : January/2003

Finish : September/2006

Period of generation of CERs : 7 years

Estimated total of CERs to be delivered : 155.801,82 tonnes

2.2 Background (maximum 1 page A4)

PT. Agricinal is one of palm oil producers and located in Sebelat Village, Kec. Putri Hijau, Bengkulu
Province, Indonesia. For the past 3 years, the CPO (Crude Palm Oil), production is ranging from
10.240.670 to 17.618.005 tones monthly. Since the beginning of operation, the factory used anaerobic
pond system as wastewater treatment unit that processes POME to meet the Government of Indonesia
(GOI) standards, which is issued by the ministry of Environment (MOE) of GOI in Ministry of Environment
Decree No. 51/MenLH/10/1995. The organic material in POME will go through anaerobic decomposition
process and release CO2 and CH4 to air.

In 1999, PT. Agricinal initiated a program Cattle Integration in Palm Oil Industry (CIPI). The objective of
the program was using cow with a cart as a transportation vehicle to pick-up palm oil fruits from
plantation to collecting stations before they were transported to the palm oil mill by trucks. The benefit
using cow instead trucks are:
1. Increasing farmers productivity and raising farmer’s income
2. Opening working opportunity in the field of cattle husbandry
3. Sustainable and environmental friendly.

The new equipment’s objective is to maximize the solid phase captured from POME., which will be an
ingredient for cattle feed production. The cattle feed will be distributed freely for the first two year (as a
stimulant) for local breeder. After the first two-year, the cattle feed will be sold at a reasonable price to
cover the operating costs of the production units. The utilization of POME as cattle feed is initiated to
improve sustainability in CIPI, specifically in the cow feed stock. Other output from ceramic membrane,
permeate; will be utilized as liquid fertilizer for the nursery plant.

In the framework of technology implementation, PT Agricinal had involved since 2000 in many co-
operation with competent parties to do research for the new technology. A co-operation with Lembaga
Penelitian dan Pengembangan Masyarakat/LPPM (Community Development and Research Institution) in
Institut Teknologi Bandung/ITB (Bandung Institute of Technology) was held in research and development
of the treatment units used for extracting total Suspended Solid (TSS) from the POME (heavy phase). In
2003, the pilot project of ceramic membrane unit for capturing fine mesocarp is being implemented. The
full scale of ceramic membrane unit has been operating since mid September.

Relating to the cow feed, PT. Agricinal had co-operated since 2002 with Balitnak (Livestock Research
Board) in the research about the cattle feed quality.
2.3 Financing (maximum 1 page A4)

• Costs of project development (e.g. expenses for PDD-development, Baseline Study, Monitoring
Plan, Validation) : EU 150.000

• Costs of project implementation: Ceramic membrane initial investment : EU 356.250

Decanter unit initial investment : EU 293.750
Fermentation unit initial investment : EU 62.500
Condensate Treatment Unit investment : EU 21.500
Total Project Implementation Cost : EU 734.000

• Operating costs :
Cost/year ( EU )
Unit
Operational Maintenance
Ceramic membrane EU 10.500 EU 93.750
Decanter EU 3.000 EU 25.000
Fermentation EU 146.875 EU 3.125
Condensate Treatment EU 3180 EU 3600
Total EU 160.375 EU 56.875

Total operating cost = EU 160.375 + EU 56.875 /year

= EU 217.250 /year

• Total investment sum = development + implementation + 6 years operation

= EU 150.000 + EU 734.000 + 6 x (EU 217.250 )
= EU 2.187.500
2.4 Description of technology

The innovative technologies being used in the waste utilization are :

1. POME phase separation by the decanters.
2. Filtration of Total Suspended Solid/TSS in heavy phase by the ceramic membrane
3. Processing cattle feed from materials generated by the wastewater treatment system
4. Reducing condensate temperature with a heat exchanging system.
5. Separating sands and oil in the condensate in the settling tank.

Figure 1. Scheme of the previous wastewater treatment system

 Figure 2. Scheme of the expected POME utilization

The first decanter separates POME into three phases ; light phase, heavy phase and solid mesocarp
(75% water) . The light phase, wich contains oil is flown to the oil purification unit. The solid is collected,
and later will be processed to cattle feed. The heavy phase is flown to a collecting tank and later will be
used as feed for the ceramic membrane unit.

The ceramic mebrane will filter the heavy phase. This process generates two effluents: high
concentrated heavy phase (pasta) and permeate. The permeate will be utilized as liquid fertilizer in the
 plant nursery, and the pasta will be collected in a collecting tank and will be used as feed for the second
decanter or it can be used directly as cattle feed producing ingredient.

Unlike the first decanter, the second decanter only separates the heavy phase into two phase ; mesocarp
(88% water) and lower concentrated heavy phase. The particle diameter of the solid mesocarp from the
second decanter is smaller than the solid generated from the first decanter. The low concentrated heavy
phase is circulated back to the collecting tank.

The solids and pasta produced from decanter and ceramic membrane are used as ingredients for
producing cattle feed. The process in the cattle feed production are mixing, fermenting, enzymatic
process, and drying. Fermentation is carried out to extend the protein value in the cattle feed. To stop the
fermentation process and to reduce alcohol level in the mixed ingredients, enzymatic process is being
carried out. Finally, the drying process is done to make the cattle feed storable.

Ingredients :
- Solid - Kernell Cake - A.niger-
- Pasta - Mineral

Mixing Fermentation Enzymatic Drying

Figure 3. Cattle feed production process

The utilization of POME as cattle feed is initiated to improve sustainability in CIPI, specifically in the cow
feed stock. Implementation of the new system will eliminate the POME that used to be discharged to the
anaerobic pond, which means the whole process will reduce the GHG emission generated by palm oil
process.
 2.5 Implementation plan (maximum 1 page A4)
Underlying Project (Ceramic Membrane, Decanter, Fermentation)
Month
No Implementation
1 2 3 4 5 6 7 8 9 10 11 12
1 Project Identification
2 Project Planning
3 Project Design
4 Constructing ceramic membrane & decanter
5 Commissioning membrane & decanter
6 Constructing feed mill & condensate treatment unit
7 Commissioning feed mill & condensate treatment unit
8 Zero Wastewater Implementation

On site, the membrane & decanter has been commissioned in December 2005 and has been operating since
then. But due to one and other things, the proposing of this project to become a CDM project has been
paused.

2.6 Emission Reductions (maximum 1 page A4)

A. Without project implementation :

(rapproachment measuring using CDM Executive Board approved baseline methodology
AM0013)

Baseline emission (for 30 tons/hour capacity mill) :

• working hours = 20 hours/day
• working days = 300 days/year
• Q of heavy phase = 12 tons/hour
• Q of condensate = 7,5 tons/hour
• ρ heavy phase= 1.01 gr/cm3
• ρ condensate = 1 gr/cm3
• CODheavy phase = 111.922 mg/liter = 110.813,8 mg/kg
= 110.813,8 x 10-6 kg COD/ kgheavy phase
• CODcondensate = 54.200 mg/liter = 54.200 mg/kg
= 54.200 x 10-6 kg COD/ kgcondensate

for Heavy phase:

CH4 emissions = Total COD x Bo x MCF
= (12.000 kgheavy phase/hour x 20 hours/day x 300 days/year x 0.1108138 kg
COD/kgheavy phase) x 0.25 kg CH4/kg COD x 0.738
= 1.472.050,5 kg /year
= 1.472,05 ton CH4 / year

CO2 emissions = 1,472.0505 ton CH4 / year x 21

= 30,913.06 ton CO2/year

for Condensate
CH4 emissions = Total COD x Bo x MCF
= (7500 kgheavy phase/hour x 20 hours/day x 300 days/year x 0,0542 kg COD/kgcondensate) x
0.25 kg CH4/kg COD x 0.738
= 449,995.5 kg /year
= 449.9955 ton CH4 / year

CO2 emissions = 449.995.5 ton CH4 / year x 21

 = 9,449.9055 ton CO2/year
Total Annual emission reduction (ER) :

ER from heavy phase + ER from condensate = 30,913.06 + 9,449.9055

= 40,362.965

B. After project implementation :

The operating units will utilize all the heavy phase to produce cattle feed and liquid fertilizer, so there
will be no more CH4 emission generated from POME in the anaerobic pond

C. Total CERs
Total CER = CO2 before implementation – CO2 after implementation
= (40,362.96 – 0) ton CO2/year
= 40,362.96 ton CO2 /year