Arranza: Enough coco oil for biodiesel plan

There is adequate supply of crude coconut oil to support the new policy direction of the Philippines’ Department of Energy that calls for an increase in the mandated minimum blend for biodiesel from 5% this year to 10% by 2015, 15% in 2020 and 20% in 2025. This assurance was made by Jesus L. Arranza, president and chief executive officer (CEO) of the Coconut Industry Investment Fund (CIIF) Oil Mills Group. According to Arranza, a 5% blend will require 350,000 metric tons of crude coconut oil, or 23% of the country’s current annual production. Arranza said that the CIIF and the Philippine Coconut Authority (PCA) are funding a replanting program that would ramp up production of crude coconut oil over the mid-term to prepare for the higher biodiesel blends. (May 14, 2010)