Indonesian Political, Business & Finance News

B50 Biodiesel Fuel Officially Launched, Indonesia Eyes Future B60 Transition

| Source: CNBC Translated from Indonesian | Energy
B50 Biodiesel Fuel Officially Launched, Indonesia Eyes Future B60 Transition
Image: CNBC

The Ministry of Energy and Mineral Resources (ESDM) has opened the door to developing biodiesel fuel with a 60% blend (B60) following the implementation of the B50 mandate. However, technical and economic studies must still be carried out before the policy can be applied.

Eniya Listiani Dewi, Director General of New, Renewable Energy and Energy Conservation at the Ministry of ESDM, said her office has asked researchers to study the most appropriate formulation should Indonesia wish to move to B60.

“We have asked researchers to be able to predict, if we want to go to 60%, whether it would be 50 plus 10. It is like the feeling we had back when we were imagining going to 50,” Eniya said, quoted on Wednesday (15 July 2026).

According to Eniya, the government will not rush towards B60 because the implementation of B50 is still under way. In addition, the use of biodiesel blends above 50% faces challenges in terms of production costs.

“Research is still needed for blends above 50% — if we want to add 10% from D100 hydrocarbons, the price is still one and a half times higher than FAME. That is the situation,” she said.

Previously, President Prabowo Subianto officially launched diesel fuel mixed with 50% palm oil-based biodiesel (B50) on Thursday (9 July 2026).

The official launch of the B50 mandate is a strategic agenda of the government to reduce dependence on fuel imports, particularly diesel, strengthen the added value of national natural resources, and safeguard Indonesia’s economic resilience and energy sovereignty.

In his address, Prabowo said that with the launch of the B50 programme, Indonesia has officially become the first country in the world to implement a mandatory B50 biodiesel policy.

“Indonesia is officially the first country in the world to implement a mandatory B50 biodiesel mandate. This is not merely a technological achievement; it is proof that Indonesia is able to harness its own natural wealth for the benefit of its own people,” Prabowo explained in his address in Karawang on Thursday (9 July 2026).

“This is an important milestone on the journey towards energy independence,” Prabowo added.

Prabowo stressed that the achievement of B50 should not allow innovation to stand still. He urged PT Pertamina to push towards B60.

“Thank you to the scientists from universities, please continue this research. Thank you Pertamina, keep going, do not stop at B50 — if possible, go to B60,” Prabowo asserted.

Prabowo also said he would award State Honorary Medals to those who successfully implemented the B50 policy.

“Friends, this is indeed a great effort, thank you, my happiness — I will ask the Cabinet Secretary for the names of the Minister of Energy and Mineral Resources, the President Director of Pertamina, the Coordinating Minister for the Economy, Mr Rosan, all those who contributed to reaching B50. I want their names, I wish to award them the Honorary Medal,” he said.

“Those who receive the medal already hold high rank; this is about merit and results for the state. B50 is a great achievement for the nation,” he concluded.

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