Malaysia, Indonesia to counter EU decision to ban palm oil-based biofuel

(From left) Zuraiti, Renuganth, CIMB Foundation project manager Eugine Cheng and Mohd Ali showing the use of biodiesel to power vehicles such as buses at Biorefinery@UPM. From left, CIMB Bank UPM Branch Manager Zuraiti Zakaria, VC of UPM Prof. Dr. Ing. Ir. Renuganth Varatharajoo , Project Manager of CIMB Foundation Eugine Cheng and Enviromental Biotechnology Research Group Leader Prof.Dr. Mohd Ali Hassan, March 2, 2017. ROHAIZAT MD DARUS/STAR.

PUTRAJAYA: Malaysia and Indonesia will send a joint mission to Europe next month to counter the European Union (EU) resolution which proposed to curb the use of oil palm-based biofuel by 2020.

Plantation Industries and Commodities Minister Datuk Mah Siew Keong said he would be going to Europe with Indonesian Coordinating Minister for Economic Affairs Darmin Nasution next month in a bid to stall the resolution.

Speaking to reporters after attending the ministry’s Excellent Service Awards in Putrajaya on Wednesday, Mah said the EU resolution had been discussed at the Cabinet level.

“The Cabinet feels that the resolution is unfair. I have been instructed by the prime minister to go to Europe to talk to the EU lawmakers and officials,” he said.

Mah said Datuk Seri Najib Tun Razak was also expected to discuss the EU resolution with Indonesian President Joko Widodo in the nearest future.

A resolution by the European Parliament recently called for the EU to phase out by 2020 the use of vegetable oils in biodiesel that are allegedly produced in an unsustainable way leading to deforestation. The resolution includes palm oil.

The resolution might affect the exports of palm oil to European and other developed countries.

Meanwhile, Mah said palm oil exports increased 28.5% to RM22.8bil for the January-February period this year from the same period a year ago. - Bernama