B10 a govt initiative to up palm oil usage locally, says Shahrir

B10 a govt initiative to up palm oil usage locally, says Shahrir
Business & Markets 2013
Written by Bernama
Tuesday, 19 March 2013 16:50


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KLUANG (March 19): The government's move to introduce 10 per cent blended palm oil or B10 in petroleum diesel is part of initiatives to increase palm oil usage in the domestic market, Malaysian Palm Oil Board (MPOB) Chairman Tan Sri Shahrir Abdul Samad said today.

Currently, the country only used five per cent of the total palm oil output, while the remaining 95 per cent are exported, he said.

"Hence, the government has decided to increase palm oil content in the diesel being used in the country.

"For the time being, we will use B10 in the vehicles of the armed forces, Kuala Lumpur City Hall and MPOB," he told reporters after launching the Kluang MPOB open day and the use of B10 for MPOB vehicles here today.

Shahrir said the use of B10 will also help stabilise palm oil prices in the market.

He said the government's initiative will pave the way to increased palm oil usaged in the country by middle of next year.

The use of biodiesel as a new energy source will also contribute to the reduction in environmental pollution, he said.

"Previously, biodiesel or B5 (five per cent blended with palm oil) is only used in the central region such as in Kuala Lumpur, Putrajaya, Negeri Sembilan and Selangor.

"Five per cent palm oil means five per cent lesser sulphur content in diesel. With the use of B10, we can reduce more sulphur in diesel, thus helping to overcome emission of carbon monoxide from vehicles in the country," he said.

Shahrir also assured vehicle owners that B10 biodiesel would not weaken vehicles' engine power as made out to be by certain quarters.