Biomass is an abundant renewable energy resource that can replace fossil fuels for the reduction of greenhouse gas (GHG). Indonesia has a large number of cheap biomass feedstocks, such as reforestation (waste wood) and palm residues (empty fruit bunch or EFB). In general, raw biomass contains more than 20% moisture and lacks calorific value, energy density, grindability, and combustion efficiency. Those properties are not acceptable fuel attributes as the conditions currently stand. Recently, torrefaction facilities, especially in European countries, have been built to upgrade raw biomass to solid fuel with high quality. In Korea, there is no significant market for torrefied solid fuel (co-firing) made of biomass residues, and only the wood pellet market presently thrives (~ 2 million ton yr-1). However, increasing demand for an upgraded solid fuel exists. In Indonesia, torrefied woody residues as co-firing fuel are economically feasible under the governmental promotion of renewable energy such as in feed-in-tariff (FIT). EFB, one of the chief palm residues, could replace coal in cement kiln when the emission trading system (ETS) and clean development mechanism (CDM) system are implemented. However, technical issues such as slagging (alkali metal) and corrosion (chlorine) should be addressed to utilize torrefied EFB at a pulverized coal boiler.