Jakarta, January 4, 2025 – The Europe Today: The Indonesian government is gearing up to implement the mandatory 50 percent biodiesel (B50) program by 2026 as part of its efforts to eliminate diesel imports. Minister of Energy and Mineral Resources Bahlil Lahadalia made the announcement on Friday, highlighting the program’s role in the nation’s energy transition strategy.
To pave the way, the government will begin mandatory implementation of B40 biodiesel this year. B40 combines 60 percent diesel fuel and 40 percent biofuel derived from palm oil.
“If we can do this, there will be no more diesel imports in 2026,” Lahadalia said, emphasizing that the B50 program aligns with President Prabowo Subianto’s directive to enhance energy security and reduce reliance on imports.
Deputy Minister Yuliot Tanjung confirmed that B40 has been mandatory since January 1, 2025, but the program remains in a 1.5-month transition period to exhaust existing fuel stocks and update technologies. Full implementation is expected in February.
The B40 program’s first phase aims to produce 15.6 million kiloliters of biodiesel this year, with production ramping up in stages. Regulations for the program are expected to be finalized by the Ministry of Energy and Mineral Resources this week.
Minister Lahadalia expressed optimism that B50 would strengthen Indonesia’s energy reserves and increase its capacity to meet domestic energy demands, marking a significant step toward achieving energy independence.
