KUALA LUMPUR (Reuters) — Malaysia plans to start producing sustainable aviation fuel in 2027, with an initial production capacity of one million tonnes per year, Plantation and Commodities Minister Johari Abdul Ghani said Nov. 26.
Production capacity will gradually increase based on factory output and feedstock availability, he said.
Malaysia, the world’s second-largest palm oil producer, is in a strategic position to become one of the world’s leading SAF producers, he added.
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Under the government’s National Energy Transition Roadmap published in 2023, it established an SAF blending mandate starting with one per cent and aiming for a 47 per cent blend by 2050.
Johari said the government is also considering tax incentives to attract investors to Malaysia and establish the country as an SAF development hub.
