Sustainable Production of Biomass Industries in Malaysia (Biomass-SP): Optimising Economic Potential and Moving towards Higher Value Chain
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1 Sustainable Production of Biomass Industries in Malaysia (Biomass-SP): Optimising Economic Potential and Moving towards Higher Value Chain Target : Biomass small and medium enterprises (SMEs) Beneficiaries in Malaysia Duration : 48 months (January 2010 December 2013) Action Value : 1,800,000 (EC Contribution 80%)
2 Fact & Figures: Objective: To achieve sustainable production (SP) i.e. development of less polluting and more resource efficient (energy & materials) il) biomass products (value-added d eco-manufacturing products), processes (such as Environment Management System (EMS), Clean Development Mechanism (CDM), Greenhouse Gas (GHG) emission i reduction) and (commercialisation of local R&Ds) among 50 biomass SMEs in Malaysia and links with value chain from the EU So many biomass, so little value? Please place a photo here that shows the problem. Include a headline on top of the photo as shown above in blue text: Target Group: Malaysian family-owned SMEs in the palm oil & timber industries, rice mills owners, manufacturers of bio-fertiliser, bio-plastics, green building materials, eco-products, pulp and paper, traders and suppliers of biomass, technology licensors and licensees, renewable energy (RE) entrepreneurs, clean technology entrepreneurs, etc. Beneficiaries: Biomass SMEs, producers of biomass, buyers/users of bio-based products Grant: 1,800,000 (EC Contribution 80%) Existing Platform: National Green Technology Policy (July 2009), Green Technology Financing Scheme (January 2010) The project will build synergies with SMEs and biomass stakeholders, and work with policy makers, public agencies, and investors and financiers to create enabling environment for biomass entrepreneurs.
3 Impact in numbers Numbers of SMEs involved: More than 1000 SMEs reached out during the Awareness Road Show Seminar in 7 states across Malaysia 130 applications received to participate in the EUM-BENP, 45 SMEs selected Environmental / technical / economic results already recorded with target groups: 9 company implementing ISO 14001:2004 EMS 1 company undergoing registration for Voluntary Carbon Standard, expected mitigation 20,000-22, tonne CO 2 -e 1 company started production of 1000 tonne/month pellet from saw dust, and currently selling to Korea & negotiating with Italy 1 company ventured into technology licensing with 1 university to set up a plant producing 400 tonne/month biochar from saw dust 1 company obtained funding of RM150,000 under the Catalyst Investment Programme (CIP) 1 company is preparing for listing in the Malaysian Bourse Recorded interaction with policy makers: Submitted the EU-Malaysia Biomass Stakeholders Report to the National Economic Advisory Council (NEAC) and the Economic Planning Unit in 2010 Visited 7 (RIUs, synergised with Malaysian Biotechnology Corporation (BiotechCorp), Malaysian Palm Oil Board (MPOB), Malaysian Green Technology Corporation (GreenTech Malaysia), Malaysian Ministry of Energy, Green Technology and Water (KETTHA) Impacts (RM) (tco2/year) Current Expected Total ISO 14001: , Fuel-switching 60,000 20, Co-firing and waste heat recycling - 115, RE generation using biomass - 40, Carbon footprint To be determined 3 3 Total No. Of SMEs 45 Loan financing 1,000, Start-up fund 150, Business partnership EU green procurement Technology licensing 60, Commercialisation Research collaboration Total Values 1,300, ,000 Total No. of SMEs 45
4 Personal experience of change There are tremendous opportunities in this Carbonization business. We can produce briquette charcoal, lump charcoal, white charcoal and not to mention, activated carbon. Carbonization of biomass and the production of briquette charcoal and pillow BBQ charcoal. The sustainability of the business depends on our ability to obtain and manage the biomass raw material. Luckily Malaysia is blessed with huge supply of biomass raw material. The efficient use of all these raw materials will go Before we get to know Biomass-SP, we know a long way in helping to maintain the economic nothing about Carbonization. Now we are running a and environment sustainability. Of course, business involving Carbonization and we know technology plays a very crucial role in this. To this exactly what is taking place and how to correct it end, Biomass-SP is well positioned in helping us should there be any problem arising. to achieve this. After the project ended, we plan to continue to work with the local university that was Name of the Interviewee: Dr. Tan Keok Lye introduced by Biomass-SP in order to stay ahead. Function: CEO/Managing Director
5 Indicators for impact assessment: Monitoring the outreach group Monitoring through EUM-BENP Monitoring Report Indicators of achievements: Numbers of SMEs certified with ISO 14001:2004 Environmental Management System (EMS) Number of SMEs undertaking CDM/VCS projects, expected GHG mitigation in tco 2 -e/year Number of SMEs obtained government grants/loans/green investments/venture capital, expected value in Malaysian Ringgit (MYR) Number of technologies uptake by SMEs and/or research institutions & universities (RIUs) Number of economic collaborations between SMEs and EU companies Please insert here 4 photos Number of economic collaborations between SMEs and EU companies 4 cm wide, 3 cm high In case possible matching the impact areas Collecting feedback from participating SMEs/beneficiaries/policy-makers Feedback questionnaires for Capacity Building Programmes and other related events Follow-up communications (via phone calls, s) to monitor impacts of CBPs Site visit iit reports from technical hi coaches/visiting /iiti EU experts Coaching reports from technical coaches under the EUM-BENP Expected indicators for uptake of project results by other stakeholders Commercialisation of local R&Ds/technologies at RIUs by SMEs Replication of project methodology and measures by other agencies, industrial sectors. E.g. Axile Consulting Programme, 2-year coaching for entrepreneurs in bio/green/agri sectors by the Ministry of Finance s Cradle Fund Strategic partnership with government agencies & bilateral associations e.g. MPOB, JETRO, Enterprise Ireland, MIBN, EUMCCI, the Netherlands Council for Trade Promotion, etc to host the EU-Asia Biomass Best Practices & Business Partnering Conference Development of National Biomas Initiative by Global Science Innovation Advisory Council (GSIAC), MIGHT and BiotechCorp Uptake of good practices, industry information/database, policy recommendations by government agencies, business membership organisations, etc.
6 How to make a difference. Examples on what multiplies your outreach to large numbers of target groups Intensive advertisement campaign with a total of 16 insertions in local and national newspaper Targeted g project write-up on specific issues e.g. EUM-BENP, investments on RE using biomass, incentives for commercialisation, eco-products, etc. Exhibitions at 9 related events on biomass, renewable energy, eco-products, etc. Involving and being involved with leading BMOs (ACCCIM), industry-specific agencies (FIDEC, BiotechCorp, GreenTech Malaysia), bilateral organisations (Italian Trade Commission, UKTI), etc. Replication of SCP in our project Promoting interaction and networking among SMEs to share SCP principles/value chain Implementation p of award schemes for SMEs i.e. ISO 14001:2004 EMS, VCS/CDM projects, carbon footprint certification provides visibility and first-mover advantage Engaging financial institutions (FIs) and development financial institutions (DFIs) to promote SCP/green technology financing for qualified SMEs Synergizing strategies with government agencies to facilitate integration of SCP in national dialogues/policies Creating awareness on SCP practices in biomass industry to SMEs, relevant stakeholders and general public through seminars & trainings, exhibition and conferences.
7 Specific lessons learnt from replication The best ways to speak/reach out to SMEs in large numbers Intensive awareness campaign through media, supported by national launch events/road shows Synegy with industry associations, government agencies, and relevant stakeholders groups Tapping into existing networks of the project partner s database, events, exhibitions, etc. Convincing policy-makers to promote SCP practises Preparing reports (e.g. EU-Malaysia Biomass Multi- Stakeholders Report) as reference documents Organising periodical visits/meetings with government agencies (e.g. BiotechCorp, GreenTech Malaysia, MPOB) to improve exchange of knowledge and understanding on SCP practices in biomass industry Facilitating uptake of policy recommendations based on project outputs through Biomass Action Plan for Malaysia SCP as self-propelling business case for the SMEs Providing financial incentives for SMEs (e.g. complimentary consultancy for ISO 14001:2004, CDM/VCS, carbon footprint & eco- labeling) li Highlighting business benefits to improvement of SCP practices (resource efficiency, cost savings, market competitiveness, etc.) Addressing SMEs needs on a case to case basis (advisory on business partnership, commercialisation of R&Ds, investors/carbon credit buyers, etc.)
8 Steps to communicate lessons on replication and impact: Communication strategy Dissemination of project outputs through networks of EUM-BENP and relevant stakeholders Periodically publish newsletters, brochures, res leaflets, etc. Speakership at various conferences/platforms to share findings, best practices, lessons learnt, and recommendations on topics e.g. financing, benchmarking the economic value of biomass & biomass products, etc. to multi-stakeholders t ld audience Availability of results To build up local l ownership and capacity among target group through h an association, i which h will work as a hub of information and play a facilitation role between SMEs, the industry and policy-makers. The project website will be maintained for dissemination of project outputs and update of news/events/reports relevant to biomass industry The outcome of the project will be integrated into Biomass Action Plan for Malaysia and presented to the Prime Minister in 2012
9 THANK YOU! Contact Us: Biomass-SP Secretariat 20, Jalan Diplomatik, Presint Diplomatik Putrajaya Malaysia
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