Abstract
The demand of increasing price in fossil fuel has prompted the global oil industry to look at the alternative sources of fuel from renewable energy source which is biodiesel. Biodiesel is considered as better option because of its environmental friendly characteristics while giving almost the same functional properties like fossil fuels. This paper will focus on the biodiesel produced in Malaysia. Palm oil is the main raw stock for biodiesel production in Malaysia as the country is one of the leading palm oil producers in the world. There are many advantages and disadvantages from the economical social and environmental aspects in the Malaysian biodiesel production in specific palm oil biodiesel. The aim of this paper is to analyze the past, current and future of palm oil biodiesel industry in Malaysia. This paper includes the technology aspect used in the palm oil biodiesel production and characteristics of pure palm oil biodiesel to meet the international market standard. Malaysia faces tough competition from other biodiesel producers like Indonesia and Brazil. The scope of this study covers the worldwide biodiesel development in brief in continuation with the challenges faced by Malaysia in becoming the top biodiesel exporter in the world with the advantages and disadvantage of using palm oil as the feedstock.
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