Green & Smart has announced that successful completion of the optimization of its second fully-owned biogas power plant, located in Nibong Tebal, Penang, Malaysia.

The Malpom biogas power plant has received its certificate of initial operation date (“IOD”) from the authorities and the Company expects to receive the formal certificate of commercial operation date (“COD”), which will allow the sale of power to Tenaga Nasional Berhad, the national utility company, at the full tariff rate, later this month. Malpom is the Company’s first specialised self-contained lagoon-based system developed for mills with space constraints that prevent them from setting up a conventional biogas power plant.

The biogas production process at Malpom has been successfully optimised to maximise the efficiency of biogas capture, which has resulted in the plant generating more gas than expected with current readings reaching c. 2.3MW. The excess power produced from the extra gas will be channelled towards reducing the plant’s operating and maintenance expenditure.

The Company’s first fully-owned plant, the 2.0MW Kahang biogas plant, located in the state of Johor, which is a tank-based system, is generating power and being sold to the national utility company at the full tariff rate.

Saravanan Rasaratnam, Chief Executive Officer of Green & Smart, said: “We are incredibly excited that our second fully-owned biogas power plant will soon commence power sales at the full tariff rate to the national grid and we eagerly await receipt of the COD. This specialised lagoon system has been optimised to maximise efficiency, which will enable a reduction in operating costs. While the speed of development on some of the other projects is less than initially expected, we are in advanced funding negotiations that will enable us to make significant progress and we remain confident of delivering on our goal of becoming the largest provider of biogas-based renewable energy in Malaysia.”