Malaysian Palm Oil Board Mulls Blended Diesel for Fuel Markets
Posted on: Tuesday, 12 February 2008, 03:00 CST
The Malaysian Palm Oil Board is planning to introduce palm-oil blended diesel in the Malaysian fuel market, according to Petrol World, which quoted the board's chairman Sabri Ahmad.
Petrol World reported that Malaysia's diesel-powered vehicle owners will have a choice between ordinary diesel and E2, the 2% palm oil-blended diesel.
The price of crude palm oil, which is at an all-time high of E725 per tonne, is reportedly too expensive to produce biodiesel profitably, according to Petrol World.
Petrol World quoted an industry commentator as saying that the only way the Malaysian biodiesel industry can survive with such unprofitable feedstock rates is through mandatory blending norms.
Source: Datamonitor
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