Area
Malaysia
Commodity Group
Biofuels
Commodity
Biodiesel
Date
01/02/2020
Policy Category
Renewable energy
Policy Instrument
Biofuel policy
Description
Launched the rollout of mandatory B20 transportation fuel and of B7 fuel in the industrial sector i.e. diesel containing, respectively, 20 percent and 7 percent of palm oil-based diesel. The shift would happen in stages, leading to nationwide adoption by mid-2021. In addition, the Government announced the start of field tests with higher blends, in line with plans to shift to B30 mixes by 2025.
Notes
MALAYSIA biofuel policy: In January, Malaysia introduced mandatory B20 transportation fuel (i.e. diesel containing 20 percent of palm oil-based diesel) in the states of Langkawi and Labuan, with Sarawak and Sabah expected to follow in, respectively, April and August of this year. Reportedly, the shift to B20 will be happen in stages as fuel blending facilities and petrol stations need to be equipped to handle the higher blends. Nation-wide B20 use is expected to be achieved by mid-2021. Once fully implemented, the Government expects palm oil uptake by biodiesel producers to increase by 534 000 tonnes annually from the 760 000 tonnes currently used for the B10 programme (NB: the estimate, in addition to the B20 programme, includes the switch to B7 fuels in the industrial sector). Meanwhile the countrys standard setting body has developed and deployed new fuel standards in support of the B20 programme. Moreover, the Government announced the launch of field tests with B30, in line with plans to shift to B30 fuels by 2025 at the latest.
