Malaysian agribusiness major FGV Holdings has expanded trials of its 100% palm oil-based biodiesel (B100) to plantation operations as it evaluates the fuel’s performance under demanding real-world conditions before considering wider deployment.
The six-month pilot programme is being conducted at the Tun Abdul Razak Agricultural Research Centre (PPPTAR) estate in Jerantut and involves about 17 units of equipment, including tractors, agricultural machinery, power generators and four-wheel-drive vehicles used in daily plantation operations, the company said, Oil & Fats International reported.
The latest trial follows earlier tests of B100 in on-road vehicles and represents the next phase of FGV’s evaluation of the renewable fuel in plantation environments, where machinery is subjected to heavier workloads and harsher operating conditions.
FGV said the pilot will be implemented in phases, with each asset monitored through technical assessments covering fuel consumption, engine performance, operational reliability, maintenance requirements and fuel quality. The company said it is adopting a data-driven approach to determine the commercial viability of B100 before any large-scale rollout.
FGV Chairman Abu Huraira Abu Yazid said palm oil-based biodiesel could play a greater role in supporting Malaysia’s renewable energy ambitions while strengthening the competitiveness of the country’s palm oil industry.
“Amid an increasingly challenging global landscape, marked by supply chain uncertainties and volatility in energy markets, our strategic commodity holds significant potential to further support the nation’s renewable energy agenda while enhancing the competitiveness of the palm oil industry,” he said.
He added that the Malaysian government’s decision to raise the national biodiesel mandate to B20 reflected its commitment to expanding the use of renewable energy derived from domestic resources.
According to the company, FGV is one of the world’s largest crude palm oil producers, accounting for around 3% of global output and 14% of Malaysia’s production. The group manages approximately 413,951 hectares of plantation land in Malaysia and produces about 2.92 million tonnes of crude palm oil annually.
Besides its palm oil business, FGV operates in seven countries across Asia, Europe and North America, with businesses spanning sugar, integrated farming, logistics and support services.
