STORY 1152 — IEM NATIONAL TOWNHALL

Early that morning, I woke up as usual before Subuh. After taking a shower, I got ready for the morning prayer after waking up my two youngest children. I packed my things into my backpack and then left the house.

That day, I sent my fourth child to school. While occasionally waiting for the line of cars to move along the road, I asked my second daughter what her target was for UPKK and where she would like to go for secondary school later. Every answer came back with the same response: “I don’t know.”

After dropping her off at school, I continued my journey to the nearest car workshop. However, the workshop was still closed, so I changed my plan and stopped for breakfast at a nearby mamak restaurant.

After waiting for quite some time and finding that the workshop still had not opened, I decided to continue my journey to Putra Business School at UPM. A few lecturers whom I had contacted were not in their offices, so I went straight to the third floor of the PBS building to collect my matriculation card.

It was also my first opportunity to meet some of the administrative staff whom I had previously known only through WhatsApp. It was interesting to see several staff members gathering to recite the morning zikir together. I was also informed that I was the first student among those registered for the same course to come and collect the matriculation card.

After completing my business at PBS, I continued to the car workshop in Sri Serdang. Upon arrival, the car was taken into the workshop to have all four worn-out tyres replaced. While waiting, I opened my laptop and spent the time reading several dozen emails and attending to a few work-related matters.

As promised, about an hour later, the car was ready.

I then continued my journey towards KLCC. Before noon, I had parked the car. Only then did I realise that I had made a mistake with the location. The actual venue was the KLCC Convention Centre, not KLCC itself.

With the sun directly overhead and wearing a rather thick suit jacket, I pushed myself to walk across KLCC Park towards the Convention Centre, about 900 metres away.

When I finally reached the lobby, I realised there was actually a shuttle service operating between KLCC and the Convention Centre for participants. Well, I had already walked the distance.

The convention centre was already crowded with visitors, exhibition booths and college students who had just arrived. I took the opportunity to take a few selfies in front of the banners and posters that had been prepared for the event.

After registering, I entered the hall and made my way towards the auditorium where the programme was scheduled to begin at 2:30 p.m.

The programme began with a speech by the President of the Institution of Engineers, Malaysia (IEM), highlighting the six pillars of IMPACT 2030:

Innovation, Membership, Professionalism, Advocacy, Collaboration and Transformation.

It was the beginning of another day of learning, networking and witnessing the engineering profession come together under one roof.

Load bank

A load bank is a device used to simulate an electrical load so that a generator, UPS, transformer, battery system, or electrical installation can be tested under controlled conditions without connecting the actual plant load.

1. Simple concept

Think of a load bank as an artificial electrical consumer.

For example:

Generator → Load Bank → Electrical energy converted into heat

Instead of supplying a factory, the generator supplies the load bank. The load bank deliberately consumes the generator's electrical output and converts most of it into heat.

2. Why do we need a load bank?

A generator may be rated at 1,000 kW, but if the actual plant load is only 300 kW, simply running the generator at 30% load does not properly demonstrate that it can deliver its rated capacity.

A load-bank test allows you to progressively test:

Test load	1,000 kW generator
25%	250 kW
50%	500 kW
75%	750 kW
100%	1,000 kW

This allows engineers to verify the generator's performance at different loading conditions.

3. What does a load bank actually contain?

A typical industrial resistive load bank contains:

• Resistor elements – create the electrical load.

• Cooling fans – remove the heat produced by the resistors.

• Contactors/switches – select different load steps.

• Control panel – controls and monitors the test.

• Meters – measure voltage, current, kW, frequency and sometimes power factor.

• Protection systems – overtemperature, overcurrent, emergency shutdown, etc.

For example, a 1 MW load bank may have selectable steps:

100 + 100 + 200 + 200 + 400 kW

allowing the operator to apply different combinations of load.

4. Types of load banks

There are three common types.

A. Resistive load bank

Most common for generator testing.

It produces approximately:

kW = kVA × power factor

For a purely resistive load:

Power factor ≈ 1.0

So a 500 kVA resistive load bank approximately produces a 500 kW load.

---

B. Reactive load bank

Uses inductors or capacitors to create reactive power.

It is useful when you need to test:

• kVAR

• power factor

• alternator excitation

• voltage regulation

• reactive-load performance

---

C. Combined resistive/reactive load bank

Can apply both real and reactive power.

For example:

500 kW + 375 kVAR

This is useful for more comprehensive generator and electrical-system testing.

5. Example: testing a diesel generator

Suppose your plant has:

Generator rating = 1,000 kVA
Power factor = 0.8

The corresponding real power rating is:

1,000 kVA × 0.8 = 800 kW

During testing, you might progressively apply:

25% → 50% → 75% → 100%

At 100%:

800 kW load

The engineer monitors:

• Voltage

• Current

• Frequency

• kW

• kVA

• kVAR

• Power factor

• Engine coolant temperature

• Lubricating-oil pressure

• Exhaust temperature

• Fuel consumption

• Generator winding temperature

This gives a much better picture of the generator's condition than simply starting it for a few minutes.

6. Load bank and energy efficiency

This is particularly relevant to your energy-management work.

A load bank itself does not save energy. In fact, it intentionally consumes energy.

Its value is in testing and verification.

For example, suppose a standby generator normally operates for only 10–20 minutes during routine checks. The generator may never reach a meaningful operating load.

A controlled load-bank test can verify whether:

Generator → engine → alternator → electrical output

is operating correctly at different load levels.

It can also identify:

• poor fuel efficiency,

• voltage instability,

• frequency instability,

• cooling problems,

• alternator problems,

• protection-system problems,

• inadequate generator capacity.

7. Important distinction: load bank vs actual plant load

This is an important concept.

Actual plant load:

Generator → Motors + Pumps + Fans + Lighting + Process Equipment

Load-bank test:

Generator → Load Bank

The load bank is therefore a test instrument, not normally part of the production process.

8. One important issue for diesel generators

For diesel generators, prolonged operation at very low load can be undesirable. Depending on the engine and manufacturer requirements, sufficiently loaded operation can be important for maintaining proper combustion and avoiding problems associated with light loading.

A load bank can therefore be used as part of a generator maintenance and performance-testing programme.

In one sentence

A load bank is an artificial electrical load used to safely and controllably test the capacity, performance, stability and reliability of an electrical power source without depending on the actual plant load.

STORY 1150 — MENTOR

Everyone standing on that stage that day had a story of their own.

Some people come into our lives only for a short while, yet leave an impression that remains with us for the rest of our lives.

That is the story of Ir. Ong See Boon in my career journey.

I first met him when I was entering my third year of service at Morisem Palm Oil Mill B. At that time, he had just been appointed as the General Manager of the Engineering Group Department at the company level. Before joining our company, he had served with a prominent GLC in the country and brought with him decades of experience in the engineering profession.

From the very first day I met him, I was drawn to his character.

Not because of the title “Ir.” before his name, but because of his humility.

At that time, I was still a young engineer with big dreams. One of my ambitions was to become a Professional Engineer. Having a leader who had already achieved that goal made me feel as though I had found the right person to look up to as a mentor.

He never spoke to me like a boss.

Instead, he spoke like a father guiding his son.

Every word was delivered calmly. There was no raised voice. No ego. Yet every piece of advice carried a deep meaning.

Like rain falling onto soil that had been dry for a long time, his words slowly sank into my mind and became part of the foundation of my career.

However, our time working together did not last long.

Not long afterwards, he moved to another company. Despite that, we maintained our relationship. Whenever I faced challenges in my career, I would contact him to seek his advice and perspective.

One piece of advice from him that I have never forgotten was:

“Do not become an engineer who only understands machines. Learn to manage people as well. If engineering is a science, management is also a science—the science of managing people.”

At the time, I simply nodded.

But more than a decade later, when I found myself holding various leadership positions, managing teams, resolving conflicts and developing people and organizations, I finally understood the true meaning behind his words.

I realised that a great engineer is not simply someone who is good at solving technical problems.

A great engineer must also learn how to understand people.

Time continued to pass.

The demands of life and our respective careers eventually caused us to lose contact for many years.

Until last weekend.

After a small “mission to reconnect”, I finally managed to obtain his phone number. We arranged to meet in Shah Alam.

The moment I saw him walk in, I felt as though I had travelled back in time and become that young engineer who had once learned so much from him.

Today, he is 75 years old.

He still drives himself.

He is still active as a consultant.

He is still articulate.

His thinking is still sharp.

Although he underwent heart surgery almost a year ago, his spirit and enthusiasm for life remain remarkable.

We talked for several hours.

About the old days.

About how the engineering profession has changed.

About the challenges faced by the younger generation.

And about life.

Before we parted, he gave me another piece of advice—perhaps more valuable than all the engineering knowledge he had ever shared with me.

He said:

“No matter how far we go in our careers, and no matter how much wealth we accumulate, as we grow older, make sure our family is always by our side. Do not spend the remaining years of your life alone, without your family.”

The words were simple.

But the more I thought about them, the deeper their meaning became.

That very evening, he told me that he was planning to take his wife out for dinner to celebrate her birthday.

I smiled when I heard that.

Perhaps that is the true definition of a successful life.

Not merely the position we hold.

Not merely the title “Ir.”

Not merely the decades of experience we accumulate.

But when we reach the later chapters of our lives, there is still a hand holding ours.

There is still someone waiting for us to come home.

There are still children and family who give us a reason to smile.

I came to meet a mentor to remember the past.

But I went home carrying a new lesson about the future.

Thank you, Ir. Ong See Boon.

Some teachers teach us how to build a factory.

But great teachers teach us how to build a life.

May Ir. Ong See Boon and his wife be blessed with continued good health, happiness, and many more meaningful years together.

That is my story today.

STORY 1449 — FELLOWSHIP

This was my second encounter with Ir. Ahmad Rafidi, one of the very active leaders of IEM.

The first time I met him was earlier this year, during an interview session at the IEM Headquarters in Petaling Jaya, Selangor. When I saw him at the event, I immediately went over to greet him.

Interestingly, just like during our first meeting, the first thing he noticed was my new look. My hair is now much longer, with the grey and white strands fully showing. It was quite a different appearance from the person he met during the interview earlier this year.

We talked about many things.

I took the opportunity to share with him about my first book, My Story in Palm Oil Industry, which is expected to be printed next week. I explained why I decided to write the book and who I hope to reach through it — particularly young professionals and engineers working across different industries.

After some time, our conversation became even more interesting when one of his friends, who is also an IEM leader and works in the same company, joined us.

I also shared that I had recently completed my training on Registered Energy Manager with IEM Training Centre and had just started my DBA journey at Putra Business School (PBS), a business school under UPM.

At the same time, I was actually taking the opportunity to introduce him to an ODL mixed-mode PhD programme, which I believe could be relevant and suitable for professionals like him who are still actively contributing to their industries.

Alhamdulillah, over the past few months, I have had the opportunity to meet many remarkable figures from IEM and PBS. Each encounter has opened another window for me — bringing new perspectives, new knowledge, new friendships and, most importantly, a deeper understanding of the professional journey I am still exploring.

Sometimes, fellowship is not simply about meeting people.

It is about exchanging stories, sharing knowledge, opening doors for one another, and discovering that every person we meet may become part of another chapter in our journey.

That is my story today.

STORY 1148 — OCTOBER

 

Almost a year ago, after spending several months focusing on completing my report, the full report was finally submitted in early October 2025.

Amid the demands of daily work and other responsibilities, I had sacrificed several months to complete it. I went here and there, reaching out to friends and colleagues who could help me prepare all the required documents. Alhamdulillah, a few of my work contacts were kind enough to guide me through the various forms and requirements.

In December, I received a call for an interview. In January, I attended the interview with two panel members in Petaling Jaya. In February, the result came—and in April, I was finally registered with BEM.

A few months ago, BEM held a similar conferment ceremony. Unfortunately, I was out of the area and could not attend.

Today, when IEM organized a similar programme, I decided to make the effort to be there.

Seeing 68 other engineers receiving their recognition made me reflect on the journey that brought me here. Among them was a recipient who was 70 years old, walking onto the stage with pride. There were also recipients below the age of 30.

It reminded me of something simple:

There is no such thing as being too late. There is only whether we choose to pursue it or not.

Every journey has its own timing. Sometimes, we take longer because life demands our attention elsewhere. Sometimes, we need to pause, struggle, ask for help, and keep moving.

Today, I am grateful that I did not give up.

To everyone who prayed for me, guided me, encouraged me, and helped me along the way—thank you.

This achievement may carry my name, but the journey was never mine alone.

That is my story today.

STORY 1147 — LISTEN WITH CURIOSITY

One day, I accompanied Abu to the Lahad Datu Customs Office to discuss several matters with the Customs officers.

Once the date and time of the meeting had been confirmed, the two of us made our way to the Lahad Datu Customs Office.

Actually, I had never been to the Customs Office before, so the meeting was something I was looking forward to. On top of that, the building was newly constructed and had only started operating that same year. Seeing the building from the outside every day while returning from work had made me even more curious about what was inside.

As soon as I entered the lobby, I did what I usually do. I looked around and observed every corner that caught my attention.

I noticed the organizational chart, the department's motto, and eventually, a poster that caught my eye.

It said:

“Listen with curiosity,
Speak with honesty,
Act with integrity.”
— Roy T. Benner

Don't ask me who Roy T. Benner is.

I still don't know until today.

But those words immediately caught my attention.

I took a picture of the poster.

After the meeting was over, we returned to the factory.

Later, I edited the quotation using the background of the factory where I was working at that time. I printed it, put it up in front of my office door, and shared it with several engineers in the office.

Years passed, and that little moment became just another memory.

Then yesterday, while updating and organizing some folders on my laptop, I came across the picture again.

Funny how an old picture can bring back an old story.

So, I decided to share it again — this time with everyone, including my bosses.

Perhaps that is the beauty of curiosity.

Sometimes, we see something without knowing why it catches our attention. We take a picture, keep it somewhere, and continue with our lives.

Years later, we find it again and realize that those few simple words have stayed with us all along.

Listen with curiosity.
Speak with honesty.
Act with integrity.

That is my story today.

Assessment Rubrics Scale

 

Proposal: Accounting Standard for Environmental Damage Costs

If I were contracted by the Accounting Standards Board, I would propose developing an accounting standard for environmental damage costs for the following reasons:

(i) Why develop the accounting standard?
The standard is appropriate because environmental damage can create significant financial obligations for companies, such as costs for pollution cleanup, rehabilitation, restoration, and legal penalties. A specific standard would improve consistency, transparency, and comparability in how companies recognize and report these costs.

(ii) One key issue to be covered
The key issue would be when environmental damage costs should be recognized as a liability. For example, a company may need to recognize a provision when it has caused environmental damage and has a present obligation to undertake restoration or pay related costs, even if the actual payment will occur several years later.

(iii) How the Conceptual Framework can help
The Conceptual Framework can help determine whether an environmental obligation meets the definition of a liability and whether the related information is relevant and faithfully represented. It provides principles for deciding recognition, measurement, and disclosure, helping ensure that environmental costs are reflected appropriately in financial statements.

Summary

• (i) Why develop the standard?

  • Environmental damage can create significant costs and financial obligations.

  • A standard would improve consistency, transparency, and comparability.

• (ii) Key issue to cover:

  • Determine when environmental damage costs should be recognized as a liability.

  • This may include cleanup, restoration, and rehabilitation costs.

• (iii) Role of the Conceptual Framework:

  • Helps determine whether an environmental obligation meets the definition of a liability.

  • Guides recognition, measurement, and disclosure of environmental costs.

Simple Summary

Requirement	Answer
(i) Why develop the standard?	To improve consistency and transparency in reporting environmental damage costs.
(ii) Key issue	When should environmental damage costs be recognized as a liability?
(iii) Conceptual Framework	Helps determine whether an obligation qualifies as a liability and how it should be recognized, measured, and disclosed.

Current Ratio and Company Liquidity

If I were the CEO of a company, I would use the current ratio to assess whether the company has enough short-term assets to meet its short-term financial obligations.

The formula is:

Current Ratio = Current Assets ÷ Current Liabilities

For example, if my company has:

• Current Assets = RM10 million

• Current Liabilities = RM5 million

Then:

Current Ratio = RM10 million ÷ RM5 million = 2.0

This means the company has RM2 of current assets for every RM1 of current liabilities.

How I would interpret it as CEO

A higher current ratio generally indicates stronger short-term liquidity because the company has more current assets available to pay its debts. However, an excessively high ratio may also indicate that assets such as cash or inventory are not being used efficiently.

A lower current ratio indicates greater liquidity pressure. If the ratio falls below 1.0, current liabilities are greater than current assets, which may make it more difficult for the company to meet its short-term obligations.

As CEO, I would therefore not look at the current ratio alone. I would also examine cash flow, inventory turnover, accounts receivable collection, and industry benchmarks to understand the company's actual liquidity position.

In summary: The current ratio helps me determine whether my company has sufficient short-term resources to meet its short-term obligations and provides an early warning of potential liquidity problems.

EVALUATION OF THE POTENTIAL OF LOW ALTITUDE ECONOMY IN THE PALM OIL INDUSTRY

1.0 Introduction

The palm oil industry is a geographically extensive and operationally complex industry involving plantation management, harvesting, transportation, milling, processing and supply-chain activities. In many producing regions, plantations and mills are located across large areas, including remote and difficult-to-access locations. Consequently, companies face operational challenges related to field inspection, crop monitoring, transportation, infrastructure inspection, worker safety and environmental management.

The emergence of the Low Altitude Economy (LAE) provides an opportunity to address some of these challenges through the use of drones, Unmanned Aerial Vehicles (UAVs), artificial intelligence (AI), advanced sensors and digital platforms.

For the palm oil industry, LAE should not be viewed only as a method of transporting goods by drone. Its greater potential lies in combining aerial mobility, remote sensing, automation and data analytics to improve operational decision-making.

The potential relationship can be expressed as:

UAVs + Sensors + AI + Digital Platforms → Better Information → Faster Decisions → Higher Productivity and Safety

2.0 Current Operational Challenges in the Palm Oil Industry

The palm oil industry has several operational characteristics that make it suitable for LAE applications.

2.1 Large geographical areas

Oil palm plantations can cover thousands of hectares. Traditionally, field inspections require workers and management personnel to travel physically through plantation roads.

This creates several challenges:

• significant travelling time;

• fuel consumption;

• vehicle maintenance;

• difficult access during wet weather;

• delays in identifying field problems; and

• significant manpower requirements.

Aerial monitoring can provide a different approach by allowing large areas to be surveyed relatively quickly.

2.2 Crop monitoring

Conventional crop monitoring depends heavily on field workers and periodic inspections.

Important information includes:

• planting density;

• palm health;

• nutrient deficiency;

• pest attacks;

• disease;

• water stress;

• drainage conditions; and

• harvesting readiness.

The limitation of conventional inspection is that observations may be sample-based rather than comprehensive.

UAVs equipped with cameras and multispectral or thermal sensors can potentially collect information across much larger areas.

2.3 Harvesting and crop estimation

Fresh Fruit Bunches (FFB) are the main economic output of an oil palm plantation.

Management needs reliable information regarding:

• crop maturity;

• expected production;

• harvesting intervals;

• field productivity; and

• crop forecasting.

LAE technologies can support aerial imaging and AI-based analysis to improve crop estimation.

This can contribute to better coordination between:

Plantation → Harvesting → Collection → Transport → Palm Oil Mill

3.0 Operational Challenges that LAE Can Solve

3.1 Plantation inspection

One of the clearest applications of LAE is aerial plantation inspection.

Traditional approach

Field worker → Plantation road → Physical inspection → Report → Management decision

LAE approach

UAV → Aerial image → AI/data analysis → Digital report → Management decision

The LAE approach can reduce the time required to obtain information about large plantation areas.

Instead of relying entirely on physical inspection, management can use aerial information to identify areas requiring further investigation.

3.2 Early identification of pest and disease problems

Pest and disease detection is important because delayed intervention can result in production losses.

UAVs equipped with appropriate sensors can potentially identify abnormal vegetation patterns.

For example:

Sensor → Image → AI analysis → Abnormal area detected → Ground verification → Treatment

This creates a targeted intervention model.

Instead of treating an entire plantation uniformly, management can potentially focus resources on identified problem areas.

This supports the concept of precision agriculture.

3.3 Fertiliser optimisation

Fertiliser represents a significant operating cost in plantation management.

Aerial data can potentially identify differences in vegetation condition across plantation blocks.

The information can then support:

• targeted fertiliser application;

• identification of nutrient-deficient areas;

• monitoring of fertiliser effectiveness; and

• reduction of unnecessary application.

This creates an opportunity to move from:

Uniform application

towards:

Data-driven application.

The economic benefit would potentially come from improved input efficiency rather than simply reducing the quantity of fertiliser used.

3.4 Drainage and water management

Water management is particularly important in oil palm plantations.

Excessive water can cause:

• waterlogging;

• poor root conditions;

• reduced accessibility;

• soil deterioration; and

• harvesting difficulties.

UAVs can provide aerial information about:

• drainage networks;

• standing water;

• erosion;

• blocked drains; and

• changes in plantation conditions.

This allows maintenance teams to prioritise areas requiring intervention.

3.5 Plantation road inspection

Plantation roads are essential because they connect harvesting areas to collection points and mills.

Poor road conditions can affect:

• harvesting operations;

• FFB evacuation;

• vehicle productivity;

• fuel consumption; and

• delivery time.

UAVs can potentially identify:

• damaged roads;

• erosion;

• flooded sections;

• bridge problems; and

• inaccessible areas.

This can support predictive and prioritised road maintenance.

4.0 LAE Applications in Palm Oil Milling

LAE is not limited to plantations. It can also support palm oil mill operations.

4.1 Mill infrastructure inspection

UAVs can potentially inspect difficult-to-access infrastructure such as:

• mill roofs;

• chimneys;

• stacks;

• storage tanks;

• pipelines;

• transmission lines;

• cooling systems; and

• other elevated structures.

This can reduce the need for workers to physically access certain hazardous locations.

The potential safety improvement is particularly important in an industrial environment where working at height may involve significant risk.

4.2 Thermal inspection

Thermal cameras mounted on UAVs can potentially identify abnormal heat patterns.

Applications may include:

• electrical equipment;

• motors;

• transformers;

• boilers;

• steam systems;

• bearings; and

• other industrial equipment.

The principle is:

Thermal image → Abnormal temperature → Further inspection → Corrective maintenance

This supports condition-based and predictive maintenance.

4.3 Stockpile and inventory measurement

UAVs can potentially be used to estimate the volume of:

• biomass;

• empty fruit bunches;

• fibre;

• shell;

• compost;

• palm kernel;

• other materials.

Three-dimensional aerial mapping can provide estimates of stockpile volume without requiring workers to physically measure the entire pile.

This can improve:

• inventory management;

• production planning;

• material utilisation; and

• financial reporting.

5.0 LAE for Worker Safety

Worker safety represents another important area where LAE can create value.

Palm oil operations can involve:

• working at height;

• remote field locations;

• heavy equipment;

• confined areas;

• difficult terrain;

• electrical infrastructure; and

• industrial machinery.

UAVs can perform certain inspection activities before workers enter an area.

For example:

UAV inspection → Identify hazard → Risk assessment → Controlled human intervention

This follows an important safety principle:

Use technology to reduce unnecessary human exposure to hazardous environments.

Therefore, the economic value of LAE is not limited to productivity. It can also arise through risk reduction and improved occupational safety.

6.0 LAE for Environmental Management

Environmental management is increasingly important in the palm oil industry.

UAVs can support monitoring of:

• rivers;

• drainage systems;

• plantation boundaries;

• erosion;

• water bodies;

• conservation areas;

• illegal land clearing; and

• environmental incidents.

For example, aerial monitoring can provide evidence of changes in drainage or river conditions.

This can support faster investigation and corrective action.

The combination of:

UAV + GPS + imagery + GIS + AI

can create a digital environmental monitoring system.

7.0 New Business Opportunities Created by LAE

The greatest long-term potential of LAE is not only solving existing problems but also creating new business opportunities.

7.1 Drone-as-a-Service

Palm oil companies do not necessarily need to own large fleets of UAVs.

Specialised companies could provide:

Drone-as-a-Service (DaaS)

The plantation company pays for services such as:

• aerial mapping;

• crop monitoring;

• inspection;

• thermal imaging;

• surveying; and

• data analysis.

This changes the business model from asset ownership to service utilisation.

7.2 Precision Agriculture Services

Specialised LAE companies could provide integrated services:

UAV → Data → AI → Crop Diagnosis → Recommendation

This could become a new agricultural technology service industry.

The company would not simply sell drones. It would sell agricultural intelligence.

7.3 Predictive Maintenance Services

UAV companies could provide industrial inspection services to palm oil mills.

For example:

Drone inspection → Image analysis → Defect identification → Maintenance recommendation

This creates a new market for predictive maintenance and industrial analytics.

7.4 FFB Transportation Opportunities

In the longer term, UAVs or other low-altitude autonomous vehicles could potentially support transportation of selected materials.

However, the economic feasibility depends on:

• payload;

• distance;

• battery capacity;

• operating cost;

• terrain;

• regulations; and

• comparison with conventional trucks.

Therefore, drone-based FFB transportation should currently be considered a potential niche application rather than a direct replacement for conventional FFB transport.

8.0 Integration with Artificial Intelligence

The most significant opportunity may arise when LAE is combined with AI.

A UAV by itself provides limited economic value.

The greater value comes from:

UAV → Data → AI → Information → Decision → Action

For example:

1. UAV collects images of a plantation.

2. AI identifies abnormal palm conditions.

3. GIS identifies the exact location.

4. Management receives an automated report.

5. Field workers verify the problem.

6. Targeted intervention is performed.

7. Results are monitored using subsequent UAV flights.

This creates a closed-loop digital agriculture system.

9.0 Economic Impact on the Palm Oil Industry

The potential economic effects can be grouped into five areas.

Area	Potential LAE Contribution
Productivity	Faster monitoring and better resource allocation
Cost	Reduced inspection time and potentially lower operating costs
Safety	Reduced human exposure to hazardous locations
Sustainability	More targeted use of fertiliser, chemicals and resources
Decision-making	Faster and more accurate operational information

The impact should therefore be evaluated using measurable Key Performance Indicators (KPIs), such as:

• inspection time per hectare;

• cost per hectare;

• labour hours;

• fuel consumption;

• fertiliser utilisation;

• crop-loss percentage;

• road maintenance response time;

• equipment downtime;

• safety exposure hours; and

• maintenance cost.

This provides a stronger basis for a business case than simply stating that drones are technologically advanced.

10.0 Challenges to LAE Adoption in the Palm Oil Industry

Despite its potential, several challenges need to be addressed.

10.1 Initial investment

Investment may be required for:

• UAVs;

• sensors;

• software;

• AI platforms;

• communication systems;

• trained personnel; and

• maintenance.

10.2 Regulatory requirements

Drone operations are subject to aviation regulations, particularly for more complex or Beyond Visual Line of Sight (BVLOS) operations.

Companies therefore need appropriate approvals, operating procedures and trained personnel.

10.3 Data management

Large plantations can generate enormous quantities of aerial imagery.

Companies need systems for:

• data storage;

• processing;

• cybersecurity;

• GIS integration;

• AI analysis; and

• data governance.

10.4 Weather

Tropical weather can affect UAV operations.

Heavy:

• rain;

• wind;

• thunderstorms; and

• poor visibility

can reduce operational reliability.

10.5 Skills

Successful implementation requires employees who understand both:

Palm oil operations + digital technology.

The future plantation workforce may therefore require greater knowledge of:

• GIS;

• UAV operations;

• AI;

• data analytics; and

• digital agriculture.

11.0 Strategic Evaluation

The potential of LAE in the palm oil industry can be evaluated using three levels.

Level 1 – Immediate opportunity

Applications that are already relatively practical include:

• plantation mapping;

• crop monitoring;

• infrastructure inspection;

• road inspection;

• environmental monitoring;

• stockpile measurement.

Level 2 – Emerging opportunity

More advanced applications include:

• AI-based disease detection;

• precision agriculture;

• predictive maintenance;

• autonomous inspection;

• integrated plantation digital twins.

Level 3 – Long-term opportunity

Potential future applications include:

• autonomous cargo transportation;

• advanced eVTOL logistics;

• autonomous plantation operations;

• aerial passenger mobility;

• highly automated agricultural ecosystems.

The timing of these applications will depend on technological maturity, economics, regulation and operational reliability.

12.0 Proposed LAE Framework for the Palm Oil Industry

A suitable conceptual framework for the industry is:

LOW-ALTITUDE TECHNOLOGIES

Drones + UAVs + Sensors + AI + eVTOL

↓

DATA GENERATION

Aerial Images + Thermal Data + GIS + 3D Mapping

↓

DATA ANALYTICS

AI + Machine Learning + Predictive Analytics

↓

OPERATIONAL APPLICATIONS

Crop Monitoring + Infrastructure Inspection + Environmental Monitoring + Maintenance + Logistics

↓

BUSINESS OUTCOMES

Productivity + Cost Efficiency + Safety + Sustainability + Faster Decision-Making

↓

ECONOMIC TRANSFORMATION

Smart and Data-Driven Palm Oil Industry

13.0 Conclusion

The Low Altitude Economy has significant potential to transform the palm oil industry because of the industry's extensive geographical coverage, dependence on field inspection, transportation requirements and need for effective environmental and safety management.

The most immediate value of LAE is likely to come from data collection, monitoring and inspection rather than replacing conventional transportation. UAVs can provide rapid aerial information about plantations, roads, drainage systems, infrastructure and environmental conditions. When combined with AI, this information can support precision agriculture, predictive maintenance and faster operational decision-making.

LAE can also create new business opportunities through Drone-as-a-Service, precision agriculture services, industrial inspection, predictive maintenance and data analytics. In the longer term, autonomous cargo and eVTOL applications may create additional possibilities, although their commercial viability will depend on technology, regulation and operating economics.

Therefore, the potential of LAE in the palm oil industry can be summarised as:

LAE can transform the palm oil industry from a predominantly labour-intensive and ground-based operating model toward a more data-driven, automated and digitally integrated industry.

The most important economic opportunity is not simply “using drones”, but using low-altitude technologies to convert aerial data into better operational decisions, improved productivity, safer work practices and new business models.