MALAYSIA SAYS TO PROVE PALM OIL WORKS AS FUEL

KUALA LUMPUR, April 3 (Reuters) - Malaysia said on Tuesday it wouldprove to doubters that crude palm oil can be burnt as power plant fuel,Primary Industries Minister Lim Keng Yaik told reporters.The controversial plan to use crude palm oil (CPO) as fuel took a freshtwist on Monday as state power firm Tenaga Nasional said it would startusing CPO in May, contradicting government reports it had already startedand sowing uncertainty in the futures market."We will go to the Tenaga station in Prai on April 12 and show how the CPOmixed with medium fuel oil can be burned in the station's generator," Limsaid."This will put to rest once and for all scepticism on this plan," Limsaid, adding Tenaga has already begun burning crude palm oil.Malaysia, the world's largest palm oil producer, is struggling to easedomestic stocks and falling prices and the government had asked Tenaga toburn 400,000 tonnes of CPO to cut down on an excessive stock build.