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Prospects and current status of B5 biodiesel implementation in Malaysia

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  • Yusoff, Mohd.Hizami Mohd.
  • Abdullah, Ahmad Zuhairi
  • Sultana, Shazia
  • Ahmad, Mushtaq

Abstract

This paper addresses B5 biodiesel programs in Malaysia, global challenges on the production of palm oil. Protective measures for future efficiency as well as continued viability of this renewable energy sector are also discussed. Crude palm oil (CPO) prices are currently suppressed because of high palm oil inventory. Malaysian government has taken a pro-active step in implementing the B5 biodiesel for transportation and industrial sectors through the introduction of B5 biodiesel. The B5 Biodiesel Program which was initially targeted at selected government agencies has been fully implemented for subsidized sectors in the Central Region. The promotion of B5 development is highly attractive due to its potential local feedstock from palm oil industry and the availability of production technologies that offer opportunities for the sustainable development in energy entrepreneurships. Nationally, produced B5 will improve the access to alternative energy services and is expected to help in improving productivity and sustainability. Despite successful local B5 implementation, Malaysia is recently facing global challenges on the biodiesel production which currently remains stagnant due to weak domestic demand and uncompetitive export tax structure.

Suggested Citation

  • Yusoff, Mohd.Hizami Mohd. & Abdullah, Ahmad Zuhairi & Sultana, Shazia & Ahmad, Mushtaq, 2013. "Prospects and current status of B5 biodiesel implementation in Malaysia," Energy Policy, Elsevier, vol. 62(C), pages 456-462.
    • Handle: RePEc:eee:enepol:v:62:y:2013:i:c:p:456-462
    DOI: 10.1016/j.enpol.2013.08.009
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    Cited by:

    1. Norashida Othman & Zulkornain Yusop & Mohd Mansor Ismail & Syamsul Herman Mohammad Afandi, 2021. "Energy Tax and the Downstream Palm Oil Trade Competitiveness Nexus in Malaysia: An Application of GMM Approach," International Journal of Energy Economics and Policy, Econjournals, vol. 11(5), pages 593-599.
    2. Islam, Md Tasbirul & Huda, Nazmul & Saidur, R., 2019. "Current energy mix and techno-economic analysis of concentrating solar power (CSP) technologies in Malaysia," Renewable Energy, Elsevier, vol. 140(C), pages 789-806.
    3. Chinhao Chong & Weidou Ni & Linwei Ma & Pei Liu & Zheng Li, 2015. "The Use of Energy in Malaysia: Tracing Energy Flows from Primary Source to End Use," Energies, MDPI, vol. 8(4), pages 1-39, April.
    4. Gan, Peck Yean & Li, Zhi Dong, 2014. "Econometric study on Malaysia׳s palm oil position in the world market to 2035," Renewable and Sustainable Energy Reviews, Elsevier, vol. 39(C), pages 740-747.
    5. Lim, Steven & Lee, Keat Teong, 2014. "Investigation of impurity tolerance and thermal stability for biodiesel production from Jatropha curcas L. seeds using supercritical reactive extraction," Energy, Elsevier, vol. 68(C), pages 71-79.

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    More about this item

    Keywords

    Malaysian B5 biodiesel status; National policy; Challenges and sustainability;
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    JEL classification:

    • B5 - Schools of Economic Thought and Methodology - - Current Heterodox Approaches

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