Leading Malaysian agribusiness FGV Holdings (FGV) has expanded trials of its 100% palm-oil based biodiesel (B100) to plantation operations to assess its performance under real-world operating conditions.
Conducted at the Tun Abdul Razak Agricultural Research Centre (PPPTAR)’s estate in Jerantut, the six-month pilot involved approximately 17 units of machinery, including tractors, agricultural machinery, power generators and four-wheel-drive vehicles used in daily plantation operations, the company said on 7 July.
The initiative followed previous B100 tests in on-road vehicles and marked the next phase of testing in plantation operations, where operating conditions were significantly more demanding, FGV said.
As a producer of palm-based biodiesel and one of Malaysia’s largest agribusiness companies, FGV said it was adopting a data-driven approach to assess the viability of B100 in real-world operations before looking into wider implementation.
The pilot would be introduced in phases, with individual assets monitored through technical assessment covering fuel consumption, engine performance, operational reliability, maintenance requirements and fuel quality.
“Amid an increasingly challenging global landscape, marked by supply chain uncertainties and volatility in energy markets, our strategic commodity holds significant potential to further support the nation’s renewable energy agenda while enhancing the competitiveness of the palm oil industry,” said Abu Huraira Abu Yazid, FGV chairman.
“The government’s decision to increase the national biodiesel blend to B20 reflects Malaysia’s commitment to strengthen our adoption of renewable energy based on local resources.”
According to its website, FGV is one of the world’s largest crude palm oil (CPO) producers, accounting for 3% of global and 14% of Malaysian CPO production.
The company’s palm upstream business forms the core of the group, which manages a total land bank of 413,951ha in Malaysia, producing approximately 2.92M tonnes/year of CPO.
FGV operates in seven countries across Asia, Europe and North America and, apart from the palm sector, its operations also include sugar, integrated farming and logistics and support businesses.
