21/11/2007 (The Star Online),Kuching - The state government has no immediate plans to venture into the production of biofuel using crude palm oil (CPO).

Land Development Minister Datuk Dr James Masing said the current high price of CPO made it untenable for it to be used in producing biofuel.

"Therefore I do not think it is wise to use CPO for biofuel at the moment," he said to a supplementary question from Chiew Chiu Sing (DAP-Kidurong) at the Sarawak State Assembly on Tuesday.

Earlier, he told Awang Bemee Awang Ali Basah (BN-Nangka) that up to October this year the federal government had issued 91 licences for the production of biodiesel in the country.

"Out of the total, five are in Sarawak with a combined capacity of 520,500 tonnes a year. All of these are still at the planning stage," he said.

He added that the state had earned some RM1.31bil from the export of oil palm products and about RM65mil from sales tax on CPO and crude palm kernel oil (CPKO) in the first six months of this year.