Indonesian Political, Business & Finance News

ESDM Targets B50 Distribution at All Fuel Stations by 1 October 2026

| | Source: REPUBLIKA Translated from Indonesian | Energy
ESDM Targets B50 Distribution at All Fuel Stations by 1 October 2026
Image: REPUBLIKA

The Ministry of Energy and Mineral Resources (ESDM) is targeting the distribution of 50 per cent biodiesel (B50) at all public fuel stations (SPBU) to be completed by 1 October 2026.

"My target is that by 1 October, B50 will be fully distributed at all points (SPBU)," said Eniya Listiani Dewi, Director General of New, Renewable Energy and Energy Conservation at the Ministry of ESDM, in Jakarta on Monday (20/7/2026).

Eniya stated that the implementation of the B50 mandatory programme, which commenced on 1 July 2026, is being carried out in stages with a three-month transition period before a comprehensive evaluation is conducted in December 2026. The transition period is necessary to allow companies time to use up their remaining B40 stocks while simultaneously adjusting the blending process to B50.

"In December, after these four months, we will first assess the transition, whether it has proceeded smoothly or not. Whether everyone can complete the full B50 rollout within that three-month period," she said.

The Ministry of ESDM noted that approximately 57 per cent of fuel stations are already distributing B50. The government expects this figure to continue rising in the near future.

Indonesia officially began enforcing the B50 biodiesel mandate in July 2026 as an effort to reduce carbon emissions and achieve national energy security. According to Ministry of ESDM data, the implementation of B50 in 2026 is estimated to reduce greenhouse gas emissions by up to approximately 44.46 million tonnes of CO2 equivalent. This figure is higher than the emission reductions achieved through the B40 programme in 2025.

With the launch of the B50 mandate, Indonesia becomes the first country in the world to implement a mandatory 50 per cent biodiesel blend in diesel fuel. The policy continues the implementation of the B30, B35, and B40 programmes that have been running for more than a decade.

In addition to reducing carbon emissions, the B50 mandate is projected to save the country up to Rp 170 trillion in foreign exchange in 2026, increase the added value of crude palm oil (CPO), and absorb approximately 2.1 million workers.

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