Malaysia postpones 1% sustainable aviation fuel mandate until 2030
In Malaysia, Bernama news agency reports Malaysia has officially deferred its planned 1% sustainable aviation fuel (SAF) blending mandate for international flights departing Kuala Lumpur International Airport (KLIA) from January 2027 to 2030. Plantation and Commodities Minister Noraini Ahmad said the postponement will give airlines and other industry participants more time to prepare and adapt their operations, while allowing the Civil Aviation Authority of Malaysia (CAAM) to develop an appropriate regulatory framework.
The decision reflects concerns about geopolitical uncertainty, rising jet-fuel prices, higher airline operating costs and financial pressures across the aviation sector.
Malaysia nevertheless remains committed to developing its SAF industry. Commercial production at EcoCeres’ Johor plant began in October 2025, with licensed capacity of 420,000 metric tons per year. The PETRONAS-Enilive-Euglena biorefinery in Pengerang is expected to start operations in the second half of 2028, adding another 650,000 metric tons per year of processing capacity. Together, the projects could provide more than 1 million metric tons of annual capacity by 2028, strengthening Malaysia’s ambition to become a regional SAF production hub.
Category: Policy
