Banting: The Malaysian government is aiming to expand the use of biodiesel as part of its push toward cleaner, more sustainable fuel sources, Plantation and Commodities Minister Datuk Seri Johari Abdul Ghani said on Friday, reports The Star.
Speaking at the launch of the B30 Biodiesel pilot project at Guthrie’s Golden Hope Academy on Carey Island, Johari acknowledged that the national biodiesel program, which began in 2011, has faced challenges in moving forward due to financial and infrastructure constraints.
“In 2019, Malaysia mandated the use of B7 biodiesel for the industrial sector and B10 for the logistics sector. But since then, we haven’t progressed to B20 because it would require around RM580 million in capital investment,” he said. “We are still working on how to implement this, who will cover the subsidies, and what impact B20 might have on diesel prices. All of this needs careful evaluation.”
The pilot project launched today will see SD Guthrie Bhd fully adopting B30 biodiesel for all its diesel-powered machinery and vehicles at its Carey Island plantation. B30 is a fuel blend containing 30% palm-based biodiesel and 70% petroleum diesel. According to the ministry, B30 can cut greenhouse gas emissions by up to 23% per litre compared to regular diesel.
Johari noted that if biodiesel use becomes widespread across the country, it could potentially influence commodity prices. However, he refrained from commenting on how this might impact the government’s targeted fuel subsidies, saying it was still too early to share specifics.
“The environmental benefits of palm biodiesel are clear,” Johari added. “It significantly reduces greenhouse gas emissions and is free from sulphur, making it a cleaner alternative to conventional diesel.”
