Is It Possible to Achieve Carbon Neutrality in Palm Oil Production?

Abstract

AbstractAchieving carbon neutral consumer goods is dependent on reducing the greenhouse gas (GHG) emissions from one of their major ingredients–palm oil. This crop has become one of the most controversial today because, despite its high productivity, high applicability and ability to alleviate poverty, palm oil development also comes at the cost of deforestation, which causes GHG emissions and biodiversity loss. This study aims to assess the possibility for the palm oil sector to move toward carbon neutrality to support the United Nations’ Sustainable Development Goal (SDG) 13 (climate action). In this paper we assess the pathways to reduce the GHG emissions from palm oil by using the tool Palm GHG Calculator from Roundtable on Sustainable Palm Oil (RSPO). The current Business as Usual (BAU) GHG emissions from palm oil are 0.6 tonCO2eq./ton Crude Palm Oil (CPO). The study shows that in four scenarios: Land Use Change (LUC), Palm Oil Mill Effluent (POME) utilization technology, new planting materials, and nutrient (fertilizer) management could contribute to GHG emissions reduction. The estimated reductions are: 0.36 tonCO2eq./ton CPO, 0.15 tonCO2eq./ton CPO, 0.3 tonCO2eq./ton CPO, and 0.06 tonCO2eq./ton CPO, respectively. Altogether, those four scenarios suggest negative GHG emissions at value −0.37 tonCO2eq./ton CPO. This study is useful as the guidelines to decarbonize palm oil industry derivates such as biofuels and oleochemicals industries.KeywordsCarbon neutralConsumer goodsPalm oilClimate actionGHG emissions