InfoSAWIT, JAKARTA – Amid the global push to accelerate the green energy transition, Pongamia (Millettia pinnata) is emerging as a promising alternative crop. This legume tree is noted for its unique abilities: it produces its own nitrogen and is resistant to heat, salinity, and waterlogging. These advantages allow Pongamia to grow on marginal lands that have been unproductive for agriculture.
According to Dadang Gusyana, Agronomist Consultant at Agriconsulting Europe S.A. (AESA), Brussels, Pongamia is most often grown for its oil-rich seeds. The oil can be processed into second-generation biodiesel—a significant opportunity given Indonesia's aggressive push for biodiesel use through the B35 and upcoming B40 programs.
More than just an energy source, Pongamia also offers other benefits. John Smith, General Manager of Levied and Emerging Industries at AgriFutures Australia, explained that the seed cake can be used as livestock feed with the potential to reduce methane emissions, while its pod husks can be used as biomass fuel. "The increase in the value of renewable fuels and carbon credits opens up vast opportunities for Pongamia," he said, as quoted by InfoSAWIT from AgriFutures Australia.
For Indonesia, which has millions of hectares of critical and degraded land, Pongamia can be a dual solution: restoring soil fertility while producing an economically valuable commodity. With a root system capable of fixing nitrogen, this plant can help improve barren land, especially in dry or ex-mining areas.
The AgriFutures Australia report even estimates that Pongamia can achieve an internal rate of return (IRR) of 13.5–15%, though the biggest challenges are production scale and building processing facilities. If applied in Indonesia, these challenges could be addressed through partnerships with state-owned energy companies and private sector players who are now actively developing biofuels.
With its combination of environmental benefits and business opportunities, Pongamia has the potential to become a new strategic commodity for Indonesia. It would not only support the net-zero emission target but also pave the way for the optimal use of marginal lands that have been previously unutilized. (T2)
