The Ministry of Plantation Industries and Commodities (MPIC) is confident that despite the challenges of European Union (EU) Biodiesel policy, there are a number of advantages in using palm oil to produce biofuel, its minister Datuk Zuraida Kamaruddin said in a statement
She said that, unlike fossil fuels, the combustion of palm oil biofuel does not increase the level of carbon dioxide in the atmosphere as the oil is merely returning carbon dioxide obtained earlier from the atmosphere through photosynthesis. As such, biofuel is regarded as carbon neutral
“Since carbon dioxide is a greenhouse gas responsible for global warming, the world benefits by the burning of biofuel instead of fossil fuel,” she said
Additionally, Zuraida said that palm trees that produce oil have simultaneously absorbed a lot more carbon dioxide during photosynthesis to form biomass for the other parts of the plant. The tree continues to absorb carbon dioxide throughout its life span of 25-30 years.
“A consumer of palm biofuel in Europe can therefore take comfort in knowing that palm biofuel is more than carbon neutral” she said.
Zuraida said that as it is, the MPIC has to come to terms with a potentially steady decline of palm based biofuels imports from the EU with exports this year seen at their lowest level in five years.
“Biodiesel exports from Malaysia are pegged to decline to 250,000 tonnes from 300,000 tonnes a year ago while production is pegged to rise to 1.2 million tonnes from one million tonnes in 2021 based on data from Palm Oil Analytics,” she saud
To re-cap, Malaysia has initiated legal action against the EU and two of its members – France and Lithuania – on 15 January 2021 under the World Trade Organization’s (WTO) Dispute Settlement Mechanism after the EU implemented the European Union Renewable Energy Directive II without considering Malaysia’s commitment and views.
Such a classification exercise will affect palm oil being a potential biofuel source since its usage will be gradually reduced beginning in 2023 before being ‘eliminated totally ’ as an EU biofuel source in 2030.
“On my part, I will ensure that MPIC and related agencies like MPOB step up efforts to engage with stakeholders overseas. I myself have led numerous trade missions to counter anti-palm oil allegations and narratives.
For example, I recently delivered a speech in London to captains of industries there, about the immense benefits of palm oil, while countering false news about the commodity, in line with the “The Global Movement to Champion the Goodness of Palm Oil” campaign.
The response has been overwhelming and I believe, given time, Malaysian palm oil will gain increased acceptance and may even be the dominant edible oil in nontraditional markets like Europe” Zuraida said
She said on her part, she would ensure that MPIC and related agencies like MPOB step up efforts to engage with stakeholders overseas. “I myself have led numerous trade missions to counter anti-palm oil allegations and narratives,” she said.
