B50 Mandate to Take Effect 1 July, Government Targets Foreign Exchange Savings of Rp 157.28 Trillion

The Ministry of Energy and Mineral Resources (ESDM) has stated that the implementation of the B50 policy, set to begin on 1 July 2026, could save the country up to Rp 157.28 trillion in foreign exchange this year. Spokesperson Dwi Anggia explained that the B50 mandate will reduce Indonesia’s reliance on imported diesel fuel.

Compared to the previous year’s B40 mandate, which yielded foreign exchange savings of Rp 133.3 trillion, the B50 policy represents a significant increase in savings of approximately 17.9 percent.

Beyond foreign exchange savings, the B50 programme is expected to generate Rp 24.68 trillion in added value for crude palm oil (CPO), absorb 2.21 million workers, and reduce greenhouse gas emissions by up to 46.72 million tonnes. Anggia noted that the policy not only positively impacts the trade balance but also supports national economic growth by increasing the value added to palm oil, with economic benefits being felt more directly by oil palm farmers.