PT PLN Energi Primer Indonesia (PLN EPI), the energy procurement subsidiary of Indonesian state utility PT PLN, is targeting exports of around 1 million tonnes of biomass this year as surplus feedstock outpaces domestic demand.
Hokkop Situngkir, director of biomass at PLN EPI, said approximately 200,000 tonnes of export contracts had been secured so far, with the remainder still being pursued. Products targeted for export include palm kernel shells and wood pellets.
Export prices are considerably higher than domestic rates. Biomass supplied for domestic cofiring is priced at around $41 per tonne, while palm kernel shells command between $59 and $77 per tonne on export markets. PLN EPI has secured contracts with buyers in Poland and is in discussions with potential partners in Japan.
The export push reflects a mismatch between available supply and domestic absorption capacity. PLN EPI's biomass consumption for coal plant cofiring reached around 2.4 million tonnes in 2025, against total Indonesian biomass exports across all companies of between 10 million and 12 million tonnes.
Despite the export ambitions, the company said domestic supply remains its primary commitment, with cofiring demand across 49 coal power plants forecast to reach 3.65 million tonnes in 2026. PLN EPI aims to grow biomass utilisation to around 8 million tonnes by 2034 in line with Indonesia's long-term electricity development plan.
PLN EPI targets 1 million tonnes of biomass exports in 2026
