BKPM Accelerates Integrated Biofuel Development in Lampung

The Ministry of Investment and Downstreaming/Investment Coordinating Board (BKPM) is accelerating the development of an integrated biofuel plant in Lampung Province as part of efforts to drive downstreaming in the plantation sector and strengthen national energy security.

In an official statement in Jakarta on Wednesday, the Deputy Minister of Investment and Downstreaming/Deputy Head of BKPM, Todotua Pasaribu, stated that the project, which features an integrated bioethanol concept, is expected to serve as a model for renewable energy development based on agriculture and domestic resources.

This commitment was emphasised during a coordination meeting and field visit for the integrated bioethanol development in Lampung Province, held alongside the Lampung Provincial Government, PT Pertamina New and Renewable Energy (PNRE), PT Toyota Motor Manufacturing Indonesia (TMMIN), and other relevant stakeholders on Tuesday (9/6).

During the event, a Joint Declaration titled ‘Collaboration in Establishing Bioethanol Ecosystem Development’ was signed by the Lampung Provincial Government, PNRE, TMMIN, and PT Toyota Tsusho Indonesia (TTI).

The declaration serves as a foundation for collaboration in developing raw material supply chains, constructing bioethanol production facilities, strengthening partnerships with the agricultural sector, advancing technology, and accelerating investment realisation to support national energy security.

According to Todotua, Lampung was selected as the initial development site due to its advantages in raw material availability and infrastructure support.

“Lampung possesses the most capable feedstock for national bioethanol development. Furthermore, its position is highly strategic as it can supply the needs of Sumatra and parts of Java, which are the largest energy consumption centres in Indonesia. Therefore, we have designated Lampung as the initial location for the development of the national bioethanol ecosystem,” Todotua asserted.

During the field visit to Tegineneng District in Pesawaran Regency and Rejosari Village in South Lampung Regency, the delegation inspected the readiness of locations projected to become integrated bioethanol development areas.

The inspection results indicate that Lampung has strong raw material potential, including sugarcane molasses, sorghum, and biomass waste, which can be utilised for the development of both first-generation and second-generation bioethanol.