Discharge of poor quality effluents by the palm oil mill poses a serious threat to water resources. Since there are very few continuous monitoring system of palm oil effluent, there is need to extend this to other palm oil mills. The objective of the project is to develop an online continuous monitoring system of palm oil mill effluent. The paper discusses the development of a laboratory scale online monitoring system for palm oil mill effluent. The system configuration that comprises of hardware and software are described. ©2009 IEEE.