Mission NewEnergy and Felda collaborate for ISCC certified biodiesel

Renewable energy firm Mission NewEnergy and palm oil producer Felda Global Group have entered into a long-term supply agreement to establish the first fully integrated ISCC (International Sustainability and Carbon Certification System) certified palm biodiesel supply and production chain in Asia.

Together Felda and Mission have completed ISCC certification of two of Felda's mills and eight plantations, located in Peninsular Malaysia. Mission's 100,000tpa plant in Kuantan was the first biodiesel facility outside of Europe to gain full ISCC certification.

The latest agreement between Felda and Mission will see them work to extend the certification programme to more Felda facilities and plantations, Further expanding the available supply of ISCC certified biodiesel through Mission's refineries.

'Mission and Felda's certification constitute fuel supply to demonstrate compliance with German and European GHG saving targets,' says Nathan Mahalingam, Group CEO of Mission.'

According to Felda's president Dato' Sabri Ahmad: 'Given that Felda Global Group is pushing ahead aggressively into biofuels, ISCC provides the Group with the edge to compete in the international market. Apart from meeting many requirements for Roundtable for Sustainable Palm Oil (RSPO) certification, the ISCC certification also complies with the European Union's Renewable Energy Directive (RED).'

ISCC was introduced into German law back in November 2010 and provides biofuels consumers with subsidies and tax exemptions, in addition to other rights.

'The Renewable Energy Directive requires a minimum of 35% saving in greenhouse gas emissions from the use of biofuels and bioliquids to qualify for the subsidies and other privileges. Using our crude palm oil to produce biofuel will result in GHG savings of 47% and 41%, respectively,' Ahmad comments.

'The ISCC programme will be carried out at other Felda plantations and mills soon. The certification is important to Felda Global Group as it has identified renewable energy as a new focus area to enhance revenue by monetising by-products from palm oil,' he continues.