Toyota Tsusho Launches Biomethane Venture in Indonesia
Toyota Tsusho Corporation has entered the biomethane production and sales market in Indonesia through a new joint venture. The company, established in September 2026 with PT KIS Biofuels Indonesia, aims to start commercial operations in 2027. The project will focus on upgrading biogas derived from palm oil mill effluent (POME) in South Sumatra Province into biomethane, which will then be transported and sold via the pipeline network of PT Perusahaan Gas Negara (Persero) Tbk (PGN).
The joint venture, named PT KIS Toyota Tsusho Biomethane Indonesia (KTBI), plans to supply approximately 150,000 MMBtu of biomethane annually to customers, including those in the manufacturing industry in West Java Province. This initiative is expected to reduce greenhouse gas emissions by replacing fossil-based gases with biomethane and suppressing atmospheric emissions of POME-derived methane. KTBI will also pursue certification under the ISCC sustainability certification system to enhance the market value of its biomethane.
The project aligns with a memorandum of understanding signed by PT Toyota Tsusho Indonesia and PGN during the first Asia Zero Emission Community (AZEC) Leaders’ Meeting in 2023. It marks the first instance in Indonesia where biomethane produced in Sumatra will be supplied to customers in Java, a region with a high concentration of manufacturing industries. Toyota Tsusho aims to leverage KBI’s expertise and its own business foundations in Indonesia to expand the use of biomethane and contribute to a sustainable society.