Malaysia plans to begin producing sustainable aviation fuel (SAF) by 2027, with an initial capacity of one million metric tons per year, said Datuk Seri Johari Abdul Ghani on Tuesday.

During the minister's question time at the Dewan Rakyat on Tuesday (Nov 26), the Plantation and Commodities Minister emphasised that Malaysia, as the world’s second-largest palm oil producer, is strategically positioned to become a leading global SAF producer.

Johari also noted that the government is considering various tax incentives to attract investors and establish Malaysia as an SAF development hub, and highlighted that SAF production would benefit smallholders and palm industry players, as palm waste holds greater value than crude palm oil itself.

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