A joint venture (JV) of Gas Malaysia Bhd has commissioned operations of its combined heat and power (CHP) plant with Tokyo Gas Engineering Solutions Corporation for Fatty Chemical (M) Sdn Bhd (FCM), in Prai, Penang.
Gas Malaysia Energy Advance Sdn Bhd has signed an energy supply agreement with FCM to supply up to 6.7 MW of power and 35 tonnes per hour of steam to FCM for 15 years. The plant is expected to reduce around 18,000 tonnes of CO2 annually.
The plant will use cogeneration technology also known as the CHP system, producing both electricity and heat from a single fuel source. The generated heat will be further captured to provide thermal energy. This will boost the energy efficiency to 87 per cent.