1FACULTY OF MECHANICAL ENGINEERING

Year 1 2014-2015
Assignment 1
Course : BMM6213 Efficiency Energy Utilization
Program : Master of Engineering / Mechanical
QUESTION (30 Marks)

Biomass would be a feature in the source of Malaysia renewable energy mix in

the near future from abundance of the resources in oil palm and rice production
as it aspire to become rice self-sufficient in year 2015 while maintain as the chief
exporter of world palm oil. In conjunction with zero CO2 emission fluidized bed
technology seem to be an attractive possibility of future for power generation
while addressing the solution of waste disposal problems and the reduction of
greenhouse gases.
Discuss (in 1800-2000 words) the potential of the renewable energy mix program
from the following standpoints:i) New Five-Fuel Diversification Strategy
ii) Energy Security

iii) Environmental Impact

iv) Commitment in Kyoto protocol to reduce their CO2 emissions by 5%
below the 1990
v) Certified Emission Reduction (CER) credits
vi) Saving In Energy Cost

i)
New Five-Fuel Diversification Strategy
Realizing the increase in energy consumption, the government needs
to continuously review its energy policy to ensure long-term reliability and
security of energy supply. Malaysia is currently adopting the Five-Fuel
Diversification Strategy energy mix implemented in the year 1999.
According to this strategy, the energy mix in Malaysia is contributed by five
main sources, namely natural gas, coal, oil, hydro and renewable energy.
Among the various sources of renewable energy, biomass seems to be a
very promising option for Malaysia by utilizing biomass waste for power
generating. This strategy includes several incentive for the promotion of
environmental measures and the use of renewables in the private sector.
For companies providing energy conservation services, the following
incentives were introduced in 2001 budget:
Pioneer status with income tax exemption of 70% on statutory
income for a
period of five (5) years, or Investment Tax Allowance of 60% on
qualifying
capital expenditures incurred within a period of five (5) years with the
allowance deducted each year of assessment be set-off against 70%
of the
statutory income; and
Import duty and sales tax exemption on machinery and equipment
used in the
related project that is not produced locally. Equipment purchased
from local
manufacturers is given sales tax exemption.
ii)
Energy Security
Assessment were made based on immediate risks to the availability,
affordability and
continuity of energy supplies by evaluating energy imports, diversity of
supplies, import security and energy costs. By developing bio mass as the
sources of the renewable energy mix program, the advantages are as
follows:

Availability - waste from agricultural production (which is easy an a

lot in Malaysia) can be use to generate energy

Accessibility unlimited reserve, less barriers and constraints to the

resources compared to fuel.
Affordability less cost to users, and risk to the economy (reliance)
Acceptability environmentally accepted , social objectives

iii)
Environmental Impact
By Establishing local production networks and usage can lowers the
financial and environmental transport costs. There is no region in Malaysia
cannot be a producer of biomass, although some have greater potential for
productivity than others.
Many biomass fuels generate low levels of such atmospheric
pollutants as sulphur dioxide and CO2. Modern biomass combustion
systems are highly sophisticated, offering combustion efficiency and
emission levels comparable with the best fossil fuel boilers.
Use of biomass (including agricultural and domestic waste arisings)
for energy, diverts these materials from landfill.

iv)
Commitment in Kyoto protocol to reduce their CO2
emissions by 5% below the 1990
The Kyoto Protocol to the UNFCCC is an amendment to the international
treaty signed in 1992 on climate change, assigning mandatory emission
limitations for the reduction of greenhouse gas emissions to the signatory
nations. The objective of the protocol is the stabilization of greenhouse gas
concentrations in the atmosphere at a level that would prevent dangerous
anthropogenic interference with the climate system. Malaysia is a party to the
UNFCCC and has ratified the Kyoto Protocol.
Together with all other countries, Malaysia is already committed under the
UNFCCC to formulate, implement, publish and regularly update national and,
where appropriate, regional programmes containing measures to mitigate
climate change by addressing anthropogenic emissions by sources and removals
by sinks of all greenhouse gases. Rapid depletion of fossil fuel reserves as well as
climate change has driven the world towards renewable energy sources which
are abundant, untapped and environmentally friendly. In particular biomass fuels
hold great promise as a component strategies to reduce greenhouse gases (GHG)
emissions to acceptable levels.

iv)

Certified Emission Reduction (CER) credits.

As a result of Kyoto Protocol, carbon can now be traded in the international

market. One ton of Co2 (Carbon Dioxide) when reduced through a certified and
registered CDM project, is known as a CER (Certified Emission Reduction) and it

can be traded. The buyers of CERs are mainly governments of developed

countries, multilateral agencies, and private entities. The clean development
mechanism (CDM), which allows Malaysia to undertake emission reduction
projects in the developing countries and the credit obtained can be used for
compliance with its commitment.
As a developing country with ample agricultural and natural resources,
Malaysia stands to be a significant beneficiary as we foresee CER creation gaining
prominence in Malaysia in the near future. The most obvious beneficiary of CER
trading in Malaysia is the plantation sector, particularly oil millers, with 395
operating oil mills potentially raking in RM252mil of yearly income from three
typical projects: composting of empty fruit bunches (EFB) and palm oil mill
effluents (POME); biogas recovery from effluent to energy; and conversion of
biomass (palm kernel shells, EFB) to energy.
v)

Saving In Energy Cost

Saving in energy cost by using renewable energy mix can be achieved by

reduction in landfill disposal area. Besides, its easily available and inexhaustible
fuel source and has the potential to reduce greenhouse gases. Though it also
emit carbon-dioxide, but carbon-dioxide released by it is largely balanced by the
carbon dioxide captured in its own growth. Where as carbon-dioxide released by
fossil fuels was captured by photosynthesis millions of years. Energy efficiency
and renewable energy sources reduce the need for expensive new power plants,
which in turn reduces the cost of generating power and cuts GHG emissions.