02/06/2011 (The Star) - Biodiesel is now available in the market. Beginning this month until October, the supply of the new fuel will be available in stages starting at Putrajaya followed by Malacca, Negri Sembilan, Kuala Lumpur and Selangor respectively.

Plantation Industries and Commodities Minister Tan Sri Bernard Dompok launched the B5 biodiesel programme at the Petronas station at Precint 9 here yesterday.

With this, all five Petronas stations and one Shell station here will be dispensing the fuel.

B5 is a blend of 95% regular petroleum-based diesel and 5% biodiesel which can be used in normal diesel engine vehicles without any modifications. It will be sold at the same price as regular diesel at RM1.80 per litre.

Dompok said that the B5 price mechanism would be regulated and determined by the Finance Ministry.

“The rolling out of the B5 programme will not cause any price changes as the Government will continue providing subsidies to ensure that the B5 will be at the same cost as regular diesel,” he said.

“The production of the B5 is more expensive but the cost is absorbed by the Government,” he added.

Malaysian Palm Oil Board director general Datuk Dr Choo Yuen May said the fuel is more environmental friendly compared to regular diesel.