Thai ministry signs MoU to bring B20 biodiesel to heavy trucks
In Thailand, the Department of Alternative Energy Development and Efficiency has signed a memorandum of understanding with Bangchak Petroleum and three logistics operators to use B20 biodiesel in their heavy vehicles.
According to Energy Minister Anantaporn Kanjanarat, this pilot project will spend 115 million baht (€2.8m) from the Energy Conservation Promotion Fund to subsidise the alternative fuel, reports Thai Visa News.
The signatory companies can purchase up to 50,000 litres of B20 per vehicle at 4 baht per liter, making the fuel 2.50 baht per litre more expensive than petroleum diesel.
A feasibility study is also being conducted to evaluate the use of B10 biodiesel in military and government transports, according to Anantaporn.
He said the fuel would be available commercially after his ministry negotiates with car manufacturers to produce vehicles that run on biodiesel.
The minister is confident that Thailand will be able to produce enough palm oil for biodiesel production.
Currently, the country has a biodiesel production capacity of 4.2 million liters per day.
Anantaporn speculates that when B10 and B20 become commercially available, the demand for biodiesel will jump to more than 10 million liters per day.