Large amounts of palm oil consumption in Malaysia leads to large amounts of by-products such as Empty Fruit Bunch (EFB) and Palm Oil Mill Effluent (POME) requiring disposal. Approximately 0.65 tonnes of raw POME is produced for every ton of fresh fruit bunches (FFB) processed. If it is discharged directly into receiving waterways, it has the potential to cause adverse environmental consequences. Based on the data from the Malaysian Palm Oil Board in 2012, Malaysia produced 99.85 million tons of fresh fruit bunch (FFB) per year. Juliano et al. The overall biomass generated is composed of only 10% of the extracted oil, while the remainder is considered as waste by the oil palm plantations. Reactor configuration, anode and cathode materials, and membrane are three major parameters of MFC design that significantly affect the energy losses and electron satiating reactions at the anode. The anaerobic reaction of the lignocellulosic waste like EFB involves four stages, namely hydrolysis, acidogenesis, acetogenesis, and methanogensis. Palm-oil mill effluent is a colloidal suspension of water, oil, grease, and solids: it is fairly acidic (pH 4–5) and is typically discharged hot (80–90 °C) (Ahmad et al., 2005). Palm oil mill effluent (POME)is a yellow liquid with a unique unpleasant smell and comes from oil extraction, cleaning and washing process in the POME factory, which is featured with very high COD and BOD. This application represents a step-change innovation in palm oil milling operations to reduce oil loss during milling and has been in commercial operation since 2014. 7 2.2 PALM OILL MILL EFFLUENT (POME) In the process of palm oil milling, POME is generated through sterilization of fresh oil palm fruit bunches, clarification of palm oil and effluent from hydrocyclone operations. The conventional system, based on biological treatments of anaerobic and aerobic systems, needs proper maintenance and monitoring as the processes depend solely on microorganisms to degrade the pollutants. The oil must be removed to avoid problems in water treatment units and biological treatment stages. Hydrolysis is followed by acidogenesis, acetogenesis, and methanogenesis processes (Demiral & Scherer, 2008), which can be summarized as follows: Waste stabilization is accomplished when methane gas and carbon dioxide are produced. In terms of power generation, this translates to about 33 to 37 kWh electrical energy that can be generated per tonne FFB processed. To our knowledge, the study by Olaleye and Adedeji (2005) is the only one published in the peer-reviewed literature to assess the water quality of a river impacted by POME release from oil palm plantations. Palm oil is extracted from the mesocarp of the fruit of the palm Elaeis guineensis. Better management, higher yields from improved varieties, and planting on land that is already degraded could improve yields significantly without further deforestation (Hardter et al., 1997). Pesticides originating from oil palm plantations are expected to have a strong impact on water quality according to NGOs, while oil palm managers expect low impact due to low application rates. In 2012, Malaysia, the world’s second largest producer of palm oil, produced 18.79 million tonnes of crude palm oil on roughly 5,000,000 hectares (19,000 sq mi) of land. However, mixing palm oil mill effluent with cow manure (CM) or any other kind of waste materials in co-digestion can optimize the production of biogas. It is estimated that to produce 1 tonne of crude palm oil, 5–7.5 tonnes of water is required and more than 50% of this water will be disposed as palm oil mill effluent (POME) (Ahmad et al. Aziz et al: TREATMENT OF PALM OIL MILL EFFLUENT (POME) USING MEMBRANE BIOREACTOR 464 Introduction The history of palm oil can be traced back to the days of the Egyptian paraohs 5000 years B.C. of raw Palm Oil Mill Effluent (POME) is generated for every tonne of fresh fruit bunch (FFB) processed. Therefore, an intervention at any processing stage that increases recoverable oil and reduces oil in the discharged palm oil mill effluent is expected to improve palm milling performance. It is considered as eco-friendly, with low of sulfur dioxide and nitrogen dioxide emissions (Keong, 2006). For every tonne of crude palm oil extracted from milling, about 2.5 tonnes of POME is generated (Sulaiman et al., 2009), and in 2005, about 66.8 million tonnes of POME were produced (Vairappan & Yen, 2008). The soil dehydrogenase activity of the subsoil effluent site was found to be significantly higher (p<0.05) than in the subsoil from uncontaminated site. 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