Airlangga Reveals B50 Impact: Indonesia No Longer Needs to Import Diesel, Saves US$177 Billion

Coordinating Minister for Economic Affairs Airlangga Hartarto has detailed the impact of implementing the mandatory 50% biodiesel blend, or B50. Airlangga stated that with B50, Indonesia will no longer need to import diesel fuel and can save up to US$177 billion in foreign exchange. “Yesterday, the President (Prabowo Subianto) launched the mandatory B50 programme. This shows that Indonesia can have its own strength. Now we no longer need to import diesel and can save foreign exchange of up to US$177 billion,” Airlangga said during a press conference at the Coordinating Ministry for Economic Affairs on Friday (10/7/2026). Airlangga added that beyond saving foreign exchange, the implementation of B50 also contributes to achieving net zero emissions by reducing 44 million tonnes of CO2 equivalent. President Prabowo Subianto launched the diesel fuel with a 50% palm oil blend, or B50, on Thursday (9/7/2026) at a Pertamina petrol station in Rest Area KM 57, Jakarta-Cikampek Toll Road, Karawang Regency, West Java. This launch represents an increase in the utilisation of biodiesel from Fatty Acid Methyl Ester (FAME), raising the blend from the previous 40% (B40) which had been in effect since early 2025. According to data from the Ministry of Energy and Mineral Resources, the need for biodiesel for the B50 programme rises to between 16.7 and 18 million kilolitres, up from the 14.9 million kilolitres required for B40. Meanwhile, the demand for crude palm oil increases to between 15.2 and 16.3 million tonnes for B50, compared to 13.6 million tonnes for B40. The adoption of B50 is also projected to reduce greenhouse gas emissions by 44.46 million tonnes of CO2, an increase from the 39.66 million tonnes of CO2 reduction achieved under B40.