Malaysia raises biodiesel mandate to B15 amid regional energy supply crisis
Malaysia will raise its biodiesel blending mandate from B10 to B15, starting with an interim B12 rollout, to strengthen energy security amid fuel supply disruptions linked to the Middle East crisis. The move can be implemented immediately using existing infrastructure and aims to reduce reliance on imported diesel while utilizing idle domestic biodiesel capacity. Malaysia’s biodiesel sector currently operates at around 58% capacity, and the policy shift is expected to support local palm oil producers and align with regional trends, following Indonesia’s move toward a B50 mandate.
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