Malaysia to monitor changes in EU curbs on palm biofuel after recent WTO ruling

In Malaysia, CNA reported that the government of Malaysia said it will closely monitor how the EU responds to a World Trade Organization (WTO) ruling that supported the bloc’s stance that palm oil-based biodiesel should not count as a renewable biofuel, but sought changes in how it implemented that decision.The report noted that a WTO adjudicating panel, in its first ruling related to deforestation, recently rejected Malaysia’s claims against the EU decision, but accepted its complaints over how the measures had been prepared, published and administered. The EU will need to make adjustments, but need not withdraw its measures, following the WTO ruling, according to the report.

The Malaysian government will monitor any changes to the EU’s regulations to bring it into line with the WTO’s findings, and pursue compliance proceedings if necessary, Plantations and Commodities Minister Johari Abdul Ghani said in a statement.

Under the regulations, palm oil-based fuels can no longer be considered as renewable transport fuel and are to be phased out by 2030, as the EU has determined that palm oil cultivation resulted in excessive deforestation.

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