The senior fellow at the Academy of Sciences Malaysia said the country could offer to transfer palm oil biodiesel technology to other nations to counter the volatile crude oil cost arising from the Strait of Hormuz crisis.
Ong lamented the nation’s generally cautious approach to wider palm oil biodiesel adoption since he conceptualised the conversion process of palm oil into biodiesel 45 years ago.
“We made the discovery in 1981, yet are still hesitantly debating its extensive viable use against fossil petrochemical fuels. Even automotive giant Mercedes-Benz has endorsed its safe and efficient use for engines.
“We extensively undertook field trials for over three years with the Toong Fong stage buses (in Kuala Lumpur), but we have failed to commercialise the technology more aggressively in the transport industry.
“Malaysia possesses the technical capability to commercialise 100% palm biodiesel, pushing forward next-generation biofuel innovations,” Ong said at the three-day International Invention, Innovation and Technology Exhibition 2026 at the Kuala Lumpur Convention Centre, which ended on May 20.
The government had previously mandated a B10 biodiesel blend for motorists, comprising 10% palm biodiesel and 90% petroleum diesel. Malaysia has 34 biodiesel blending depots, most originally designed to support B10 production.
Effective June 1, Malaysia will begin rolling out B15 biodiesel, produced at 19 licensed plants, to reduce dependence on imported fossil fuels, strengthen energy resilience and ease pressure from rising diesel prices.
Since 1981, Ong has advocated for the use of palm oil as a biodiesel, helping lay the groundwork for Malaysia’s current national biodiesel mandates.
As a lipid chemist, he authored hundreds of papers, obtained 15 patents and helped dispel anti-palm oil narratives in the 1980s by proving its health benefits and nutritional value.
Significant untapped economic potential
Ong spoke on the untapped economic potential and industrial and commercial applications of palm oil beyond its traditional uses, claiming it could reap “trillions” in revenue for the country.
He said there is demand for using palm oil to produce oleochemicals, which are used in various industries like cosmetics, pharmaceuticals, cleaning products, biodegradable plastics, surfactants and lubricants.
“As a sustainable fuel conforming with environmental standards, palm oil can attract green investments and improve Malaysia’s global market competitiveness, especially with the favourable global pricing of palm oil,” he said.
Ong said the oil palm industry also generates large amounts of biomass waste, including palm kernel cake, fronds and trunks, which can be used for animal feed, organic fertilisers, and bioenergy production, among others.
“Further investment in technologies that convert waste into valuable products can unlock new revenue streams and create a circular economy within the palm oil sector,” he said.