Kuala Lumpur, 17th of November, 2015 – Scania Malaysia (Scania) and Agensi Inovasi Malaysia or Malaysia Innovation Agency (AIM) are to collaborate in exploring viable commercial opportunities for biofuels from municipal waste in Malaysia; in line with the National Biomass Strategy 2020 (NBS 2020).

A Memorandum of Understanding (MOU) was signed today between Scania represented by the Managing Director of Scania Southeast Asia, Marie Sjödin Enström, and AIM, represented by its Chief Executive Officer, Mark Rozario.

Witnessing the signing were Minister in the Prime Minister’s Department Y.B. Dato’ Mah Siew Keong and Sweden’s Minister for Strategic Development and Nordic Cooperation H.E. Mrs Kristina Persson; at the Sweden-Malaysia Innovation Day 2015 (SMID).

The MOU will see Scania and AIM conduct a feasibility study on the commercial opportunities of biofuels from municipal waste in Malaysia. The study includes identification of possible project locations, price and market demand projections and economic and operational feasibility.

Biofuels help clean up the air and reduce the carbon footprint from transport. Biofuels turn waste into clean energy, increase security of fuel supply and improve local economies, help create local job opportunities and industrial development. These are in line with NBS 2020’s aim to develop new industries and high-value opportunities by utilising biomass for high value products. Malaysia aims to be at the forefront of the development of new biomass-based industries, ultimately contributing towards Malaysia’s GNI and high-value job creation.

Scania has the technology to catalyse this project as it has been one of the main contributors to the development and adaptation of biofuels, developing and producing commercial biofuel-based transport solutions for over 20 years in Sweden and in around the world.

“Long-term business success means delivering greater profitability along with efficiency, CO2 reductions and social and ethical responsibility. Scania is proud to take the lead in the shift towards a sustainable transport system,” said Marie. “This means integrating sustainability fully into businesses and working with AIM to transform Malaysia towards creating lasting value.”