Malaysia, the world’s largest producer of palm oil, is looking to create a blending of 2-5% palm diesel with petroleum diesel.
The high year-round yield of palm oil makes it an efficient biodiesel choice. Malaysia has already taken steps to develop a palm biodiesel infrastructure, the Malaysia Palm Oil Board partnering with Golden Hope Plantations to construct a $US11 million ($A14.3 million) biodiesel plant that expects to produce 5000 tonnes of palm fuel each month from the end of next year.
“We still have to get it through the hurdle of the cabinet to see whether the legislation needs to be amended before it goes to parliament,” said commodities minister Datuk Peter Chin.
“But we can never have enough palm oil to produce all the diesel required in our country.”