On October 28, 2026, PT Organics Bali joined a panel at the Biomass, Biochar, Biogas & SAF Asia Summit 2026 in Jakarta. GEMC Global hosted the two-day event at Hotel Novotel Jakarta Pulo Mas. Our Senior Sales Manager, Tajuddin Maksum, spoke on the panel “Where Will Indonesia’s Biogas Go? Grid, Fuel, Carbon, and Beyond.” Sakti Siregar, Deputy Chairman of the Indonesian Biogas Association (ABgI), moderated the session.
Is Biogas-to-Power Still Attractive in Indonesia?
Perpres 112/2022 gave the market a clearer framework. It set ceiling tariffs and a defined procurement route, which was a positive step. However, tariff alone does not decide whether a project works. The site itself matters far more.
Biogas-to-power works best where the electricity it replaces is expensive. Mill size and distance to the grid also play a role. In other cases, owners often gain better value from boiler co-firing or from upgrading biogas to biomethane. For example, one of our recent POME projects uses co-firing, because that option fit the site best.
So, is biogas-to-electricity still attractive? Yes, but more selectively than before. In the long run, reliable gas quality and hydrogen sulfide (H₂S) control matter as much as the design itself.
Why Does Lifecycle Value Matter More Than Upfront Price?
A biogas plant is not like most other assets. It handles flammable gas and toxic H₂S, and it runs continuously for many years. Therefore, cutting quality or safety to lower the upfront cost usually backfires. Owners then face more downtime, higher maintenance, safety incidents, and poorer gas quality. In turn, these problems hurt project returns and carbon data too. For this reason, we encourage owners to judge a project by lifecycle value, not by the lowest upfront price.
What Trends Are Shaping Indonesia’s Biogas and Biomethane Market?
Over the past few years, we have seen four trends. We expect all four to keep growing. First, the market is shifting from power to molecules. Bio-CNG and Bio-LNG now serve transport and industrial heat, which supports the B50 push to cut fossil fuel imports. Second, industry is using more biogas on-site, driven by carbon compliance and waste-to-energy policies. Third, the feedstock base is widening beyond POME to cassava, agro-industry, livestock, and industrial organic waste. Fourth, value chains are becoming integrated, so energy, nutrient recovery, and carbon work together.
What Does Indonesia’s Biogas Market Need to Scale?
As a technology partner, we see three things that would help projects move faster. First, tariff certainty gives investors confidence. Second, clear biomethane quality standards open the door to wider use. Third, a defined path for offtake lets developers plan with less risk. Together, these steps would support national targets on the renewable energy mix and methane reduction.
How Does Organics Bali Build Carbon-Ready Biogas Projects?
Carbon matters in every project we design. Therefore, we build each plant to be carbon-ready, with proper metering, measurement, and documentation. This approach helps owners and their verification partners work efficiently. Registration and verification stay with the owner and specialist partners, while we act as their technical partner.
Staying Active in Indonesia’s Biogas Conversation
The summit brought together government, industry, and technical voices from biomass, biochar, biogas, and sustainable aviation fuel. Panels like this one help the sector share lessons and agree on practical next steps. We thank GEMC Global, ABgI, and our fellow panelists for a productive discussion. Meanwhile, we continue to deliver biogas, biomethane, and co-firing projects across Indonesia’s palm oil, cassava, and agro-industry sectors.
Key Takeaways
- Perpres 112/2022 clarified tariffs and procurement, but the site decides which biogas route works.
- Biogas-to-power remains attractive, but more selectively than before.
- Boiler co-firing and biomethane often suit sites where power does not.
- Lifecycle value, gas quality, and H₂S control protect long-term returns.
- Four trends: power to molecules, more industrial use, wider feedstocks, and integrated value chains.
- Scaling needs tariff certainty, clear biomethane standards, and a defined path for offtake.