Bernama.com (Malaysian National News Agency), 22 August 2006 20:33 PM

No Time Frame Set To Utilise 6 Mln Tonnes Of Biodiesel

KUALA LUMPUR, Aug 22 (Bernama) -- Malaysia has not set any target when the biodiesel industry usage of crude palm oil will reach the six million tonnes annual quota allocation that it has set for the industry, Malaysian Palm Oil Board (MPOB) director-general Datuk Mohd Basri Wahid said.

"The plant that we built in Johor took about 10 months to get the 60,000 tonnes capacity. We took a long time and a lot of work to optimise the process to make sure that requirements are matched, then only can we sell," Basri said at a press conference here Tuesday.

He said MPOB was also aiming to get five percent of the transportation industry to switch to biodiesel.

"Malaysia is set to make the switch from petrol-based diesel to biodiesel blends mandatory in 2008 after a Biofuel Bill is tabled in parliament by the end of this month," he added.

Biodiesel is currently fetching US$700 per tonne, and is becoming increasingly competitive, particularly in Europe, as crude oil price continue to rise.

Tuesday, 16 energy experts from around the world and over 100 delegates across Asia convened in Kuala Lumpur to share insights, challenges and opportunities on the region's emerging biodiesel market.

Issues tackled will range from fundamental principles to government initiatives to effective strategies to best practices.

In addition, the conference will look at the growing biodiesel industry in the South East Asia and examine its future opportunities and development.

-- BERNAMA