Indonesian Political, Business & Finance News

Bahlil Targets Indonesia to Stop Diesel Imports from 2026

| Source: CNBC Translated from Indonesian | Energy
Bahlil Targets Indonesia to Stop Diesel Imports from 2026
Image: CNBC

Minister of Energy and Mineral Resources (ESDM) Bahlil Lahadalia has targeted Indonesia to cease importing fuel oil (BBM), particularly diesel, by 2026. According to Bahlil, Indonesia’s current diesel consumption stands at around 40 million kilolitres (kl) per year. However, through various energy substitution policies, dependence on imports has been successfully reduced. “Our BBM consumption for diesel is approximately 40 million kilolitres, give or take a bit more or less. For diesel, in the history of our nation, by 2026, alhamdulillah, we will no longer import diesel because everything will be produced domestically,” Bahlil stated at the Sinergi Alumni IPB Untuk Bangsa event on Saturday (2/4/2026). Bahlil explained that the success in stopping diesel imports is inseparable from the implementation of the biodiesel programme that has been running since 2016. The programme started with a B10 blend, then increased to B20, B30, up to B40, and is targeted to reach B50 by mid-year. “Next July, it will become B50, which is a way to convert and substitute our imports from B0 to B50, where a mixture of CPO and methanol becomes FAME, and this FAME is then mixed with B0. This is why we will no longer import diesel,” said Bahlil. Previously, Bahlil emphasised that the increased capacity of the Balikpapan refinery opens opportunities for Indonesia to stop importing BBM. This is because national needs can be met from domestic production. “Insya Allah, once the RDMP Balikpapan Refinery is officially operational this year, diesel imports will be stopped. This is done to promote energy sovereignty by no longer relying on imports to meet domestic BBM needs,” said Bahlil. According to Bahlil, Indonesia’s diesel needs are recorded at 39.8 million kilolitres per year. From this amount, the B40 programme contributes a supply of Fatty Acid Methyl Ester (FAME) of 15.9 million kl per year, so the remaining pure diesel (B0) needs are 23.9 million kl per year. With national production currently reaching 26.5 million kl per year, the government targets stopping diesel imports from mid-2026 for products CN 48 and CN 51 starting from mid-2026.

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