PUTRAJAYA April 17, 2026 – Malaysia’s Minister of Economy, Akmal Nasir, has addressed public skepticism over the government’s renewed commitment to biodiesel, assuring Malaysians that this initiative marks a decisive shift from past efforts that “went silent.”
In a video posted on X yesterday (April 16, 2026), the Johor Bahru MP responded directly to feedback questioning the latest announcement: “Oh, this has been around for a long time” and “It used to exist and then went quiet.” He acknowledged the doubts but stressed that the current push is backed by readiness and urgency driven by global events.
“This time is different,” Nasir explained. The government is acting swiftly due to ongoing geopolitical tensions in West Asia, particularly the conflict involving Iran that threatens the Strait of Hormuz and global energy security. The strategy aims to strengthen national diesel supplies by tapping into locally produced alternatives that do not rely on imports.
Key points from the minister’s explanation include:
- Immediate rollout possible with existing infrastructure: Malaysia is increasing the biodiesel blend in diesel from the current B10 to B15, starting with a B12 mix. This can be implemented quickly — potentially within 1 to 1.5 months — without additional costs or new infrastructure, as the supply chain, logistics, and blending facilities are already in place.
- Longer-term targets: Plans are underway to progressively raise the blend to B20 and eventually B30 in phases, further reducing reliance on fossil fuels.
- Production capacity already exceeds current output: Malaysia’s biodiesel industry currently produces 975,207 metric tons, while installed capacity stands at 2.36 million metric tons. The palm oil-based supply chain is mature and ready to scale.
- Strategic goal: The move will help secure domestic diesel supplies and shield the country from volatile global oil prices amid prolonged uncertainty. Nasir warned that “our only enemy is complacency,” urging sustained action even if short-term crises ease.
The initiative leverages Malaysia’s status as a global leader in palm oil production. Only a small percentage of crude palm oil (CPO) output — around 4% for the B15 target — is needed, ensuring minimal impact on food or other sectors.
Nasir first signaled the accelerated biodiesel focus in an announcement the day before the X video, positioning it as part of broader efforts under the National Energy Transition Roadmap to build energy resilience.
The post has garnered significant engagement, with users noting the potential for Malaysia’s palm oil giants to play a bigger role in the energy sector, similar to how Petronas transformed the oil industry.
This latest development comes as global markets watch West Asia tensions closely, with analysts warning of possible disruptions to oil shipments through critical chokepoints.
Life News Agency will continue to monitor official updates from the Ministry of Economy on the biodiesel timeline and implementation details.
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