Asian Agri is set to finish the construction of three additional biogas power plants (PLTBg) in North Sumatra by the end of 2019.
James Sembiring, Asian Agri's Head of Mill and Engineering, said that two new biogas plants will operate in Labuhanbatu Regency while the third will operate in Asahan Regency.
"With the operation of our three new biogas plants units, Asian Agri will operate a total of 10 biogas plants as seven units are already operating in North Sumatra, Riau and Jambi," James said.
Each plant has the capacity of generating between one and 2.2 megawatts (MW) of electricity.
In the future, Asian Agri will build 10 more biogas plants, in accordance with the company's target to operate 20 PLTBg units by 2020.
"The construction of PLTBg units will meet the increasing demand for energy as we are also supplying it to the State Electricity Company (PLN)," James said.
As much as 30% of electricity produced by Asian Agri's biogas plants is used to cover the company's operational activities while 70% is used by the nearby community to cover their daily electricity needs.
According to James, at least USD 6 million is required for the construction of each biogas plant.