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B5 Distribution Still Incomplete in East Malaysia

15 August 2014
USDA Foreign Agricultural Service

MALAYSIA - Officials recently announced that due to delays in completing blending facilities, B5 biodiesel will not be available in East Malaysia until at least December 2014.

Final country-wide implementation of B5 had already been delayed several times.

As a result, B5 offtake will remain at around 20,000 tons per month for the rest of the year, far short of the 40,000 tons per month originally anticipated.

The Ministry of Plantation Industries and Commodities (MPIC) announced that full implementation of the B5 biodiesel (a 5 per cent palm methyl ester and 95 per cent petroleum blend) will be delayed to December 2014. Blending facilities and infrastructure in East Malaysia are still lagging and incomplete.

B5 in Peninsular Malaysia has been available since March 2014, reaching some 2,400 petrol stations. Monthly B5 consumption is averaging about 20,000 tons.

Industry leaders and MPIC once hoped offtake would reach 40,000 tons per month this year, but that target will not be reached until East Malaysia’s production and distribution comes on-line.

TheCropSite News Desk

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