B50 Biodiesel to Take Effect on 1 July 2026, Airlangga: Reduce Use of Fossil-Based Fuel Oil

The government will soon enforce the B50 biodiesel usage policy starting 1 July 2026. B50 involves solar mixed with 50% palm oil-based biodiesel. This programme forms part of the eight pillars of national work culture transformation. It is hoped that B50 will contribute to efforts for energy independence and efficiency, allowing the country to save subsidies amounting to Rp 48 trillion. Meanwhile, the Chairman of the Indonesian Palm Oil Entrepreneurs Association (Gapki), Eddy Martono, explained that domestic crude palm oil (CPO) availability is sufficient to support B50 implementation. In a year, the raw material needs for B50 reach 16 million tonnes, an increase from the 13 million tonnes required for B40 annually. Reductions in CPO export volumes could occur due to various factors. For instance, in 2024, importers reduced purchases due to the availability of other vegetable oils from sunflower and soy. B50 is deliberately implemented to reduce solar imports.