Sustainable fuel for commercial mobility

Malaysia is committed towards reducing its carbon footprint and environmental pollution contributed by the use of fossil fuels. In line with this objective, the B10 Programme (blending of 10% palm methyl ester with 90% fossil diesel) and B7 Programme (blending 7% palm methyl ester with 93% fossil diesel) for the transport and the industrial sector respectively to be implemented in 2017.

The Minister of Plantation Industries and Commodities, YB Datuk Seri Mah Siew Keong, had announced on 15 November 2016 the deferment on the implementation of B10 and B7 Programmes to 2017. The decision to defer the mandate was in the interest of not to burden consumers with any increase in the price of diesel taking into consideration the current high price of crude palm oil.

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The Ministry of Plantation Industries and Commodities and the Malaysian Palm Oil Board (MPOB) appreciate and are fully aware of concerns raised by various quarters in the automotive industry, namely the Malaysian Automotive Association, Association of Malaysian Hauliers, Pan Malaysian Lorry Owners Association and other transport operators.

MPOB would like to reassure consumers that the introduction of B10 is validated by comprehensive bench and long-term field testing domestically; adherence to international biodiesel standards; and backed by experiences, evaluations and millions of problem-free genuine on-the-road kilometres recorded by various makes and model of vehicles that are currently in operation nationwide with the B10 or higher biodiesel mandates. In short, B10 has been proven to be superlatively beneficial and not detrimental in the long run as it has been wrongly perceived.

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To fulfil an even greater aspiration, the Government’s B10 initiative is envisioned to bring about significant and impactful environmental benefits notably by way of reducing greenhouse gas emissions and pollution, in the pursuit of a greener automotive footprint. The use of B10 in addition, yields positive industrial, economical, commercial and social benefits for the country as a whole. Indonesia has implemented B20 Programme since January 2016. To date, no technical problem has been reported.

Malaysian transport operators will continue to have the option of using industrial B7 diesel or Euro5 diesel.
7.              MPOB will continue to intensively engage transport operators and all stakeholders in the automotive industry to address any unresolved concerns.

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