Putrajaya, 4 May 2026 – Malaysia will begin rolling out B15 biodiesel production from 1 June 2026, marking a fresh step in the government’s effort to lower diesel costs, strengthen domestic fuel security and create new value for the palm oil sector.
The government has decided that B15 biodiesel will be produced by 19 licensed plants nationwide, with the programme introduced in phases before Malaysia potentially progresses to B20 and, later, B50 within the next two to three years. Deputy Prime Minister Datuk Seri Dr Ahmad Zahid Hamidi said the phased approach is intended to manage production costs and ensure crude palm oil prices do not create excessive pressure on the biodiesel supply chain.
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