Felda will introduce 100% palm oil biodiesel at its settlements, testing the alternative fuel in its vehicles and machinery to reduce fossil fuel reliance.
KUANTAN: The Federal Land Development Authority (Felda) will make Felda settlements nationwide among the earliest locations to use B100 biodiesel, marking a significant step towards expanding the use of alternative fuels in Malaysia.
Felda chairman Datuk Seri Ahmad Shabery Cheek said the fuel would be introduced at FGV mill sites in the near future for use in various Felda-owned vehicles, including four-wheel drives, lorries, plantation machinery and excavators.
“We will start using B100 within the Felda ecosystem first, particularly near mills, for testing and logistics purposes before expanding to other areas,” he told a press conference after a briefing session on the B100 Biodiesel Pilot Project here today.
He said the production of B100 biodiesel, a fuel made entirely from palm oil without any fossil fuel blending, was a major achievement that would benefit not only FGV but also strengthen Malaysia’s standing globally.
“When we announce this, it is no longer seen as a company achievement alone, but as the country’s capability to produce biodiesel entirely from its own resources,” he said.
Ahmad Shabery said the use of B100 in Felda was also aimed at boosting confidence in its practicality in real operational conditions, while demonstrating Malaysia’s ability to reduce dependence on imported fuels.
“Biodiesel use not only benefits the environment through reduced carbon emissions, but also has the potential to increase income for settlers and smallholders through higher demand for palm oil,” he said.
He said Malaysia was the world’s second-largest palm oil producer, with output of about 20 million tonnes a year, however domestic use for energy purposes remained low compared with exports.
Increasing biodiesel consumption could therefore help reduce reliance on overseas palm oil markets, which were subject to various strict conditions, including sustainability requirements and trade quotas.
In the long term, he said the expansion of biodiesel use nationwide would depend on government policy and increased production capacity, including the construction of more processing plants.
“We are starting on a small scale in Felda, but if policies and capacity are enhanced, it is not impossible for it to be expanded nationwide,” he said.
