BioDiesel is considered to be a renewable biodegradable alternative fuel. It is seen as a replacement for petroleum products and has the ability to drive reduction in demand for renewable fuels. A big share of biodiesel in Indonesia and Malaysia involves the extraction of bio fuels from palm oil.
Indonesia accounts for more than half of global palm oil output, with Malaysia being the second largest. The two countries are behind about ~ 84% per cent of world palm oil production, according to US Department of Agriculture data. Indonesian and Malaysian economies are propelled by fossil fuels especially petroleum products. For these countries since they are large-scale producers of palm oil, BioDiesel Industry is supporting the growth of Palm Oil Industry.
Shift to BioDiesel has enabled these countries to take greater advantage of their own resources & cut reliance on diesel fuel, all the while making significant reductions in nationwide emissions. However, increased use of BioDiesel (B20 in Indonesia & B10 in Malaysia) has created new challenges in Engine Performance.