Petroleum Firms in Malaysia to Upgrade Biodiesel Facilities

Five petroleum companies in Malaysia announced recently that they would be upgrading biodiesel blending facilities at 35 terminals across the country in readiness to mix up to 30% biodiesel (B30) in diesel fuel.  The five firms are Petronas Dagangan Bhd, Shell Malaysia Trading Sdn Bhd, Petron Malaysia Refining and Marketing Sdn Bhd, Chevron Malaysia Limited, and Boustead Petroleum Marketing Sdn Bhd.  

The five firms have signed a memorandum of agreement (MoA) with the Malaysian Palm Oil Board to this effect.  The MoA encompasses the implementation of the biodiesel program up to B30.  The commitment is in line with the government’s implementation of B20 in the transportation sector in 2020 said  Primary Industries Minister Teresa Kok.

Malaysia had started implementing B10 for the transportation sector on February 1, 2019, which had not required any upgrading works.  With B20 to be introduced in the transport sector in phases starting January 2021, it made sense to upgrade the terminals to handle up to B30, if the higher blend was introduced in the future.  B20 implementation was targeted to be completed by June 2021.