Although several countries in the region have pursued bio-diesel production from palm oil at the height of oil prices, concerns have been raised regarding the conversion of additional forests into palm oil plantations. For example, Malaysia had in the past converted forests into palm oil plantations for producing bio-fuels, but is now making more efforts to balance land utilization and taking a more precautionary measure to protect its forests. Clearly, the benefits from bio-fuels have to be weighed against the potential costs of rising food prices, thougji the balance could be altered along with technological advances in bio-fuel and crop production. Over the next 10 to 15 years, bio-fuels could provide as much as 25 per cent of the world’s energy needs (FAO 2007).