Biodiesel B50 Mandate Policy Takes Effect from 1 July 2026

The government will begin implementing the mandatory blending policy for vegetable-based fuel (BBN) biodiesel at 50% (B50) in diesel starting 1 July 2026.

This was stated by Coordinating Minister for the Economy Airlangga Hartarto during a press conference on Government Policies in Mitigating Risks and Anticipating Global Dynamics, held virtually from South Korea on Tuesday (31/3/2026).

This policy serves as the government’s effort to achieve energy efficiency in anticipation of the impact of the Middle East war.

“As part of energy independence and efficiency, the government will implement B50 from 1 July 2026,” Airlangga revealed on Tuesday (31/3/2026).

“Pertamina is ready for blending and reducing fossil fuels by 4 million kilolitres (kl). This is within one year. Within 6 months, from fossil and biodiesel subsidies, the savings value is Rp48 trillion,” he explained.

In addition to implementing biodiesel B50, the government will also limit subsidised fuel purchases to 50 litres per vehicle. This will apply starting 1 April 2026.

“For fuel distribution, the government regulates purchases through MyPertamina with a reasonable limit of 50 litres per vehicle and does not apply to public transport vehicles,” he said.