Indonesia to Follow India and Brazil's Lead in Developing Sugarcane-Based Biofuel

President Prabowo Subianto has declared that the government will accelerate the development of bioethanol, targeting Indonesia to follow in the footsteps of India and Brazil in utilising ethanol as a petrol blend. Speaking during a nationwide harvest event with the Indonesian National Armed Forces (TNI) in Malang, East Java, on Friday (17/7/2026), the President stated that Indonesia currently has the capability to move towards E10, or petrol with a 10% ethanol mix, and has the potential to increase the blend to E20. The raw materials for this bioethanol can be sourced from sugarcane molasses, sorghum, cassava, palm sugar, corn, and others.

“I saw the exhibition earlier, we are already capable of moving towards E10, ethanol 10, so petrol will be mixed with 10% ethanol, but the officers said we can reach E20. We need factories, currently we only have one factory, so I have decided we will build at least 30 factories, if necessary up to 50 factories,” Prabowo said. He compared Indonesia’s progress to other nations, noting that India has already implemented E20 while Brazil uses E100, or pure ethanol. “India is already E20, India is already E20, Brazil is already E100. Can’t Indonesia do it? We can,” he asserted, urging the public to remain optimistic and not to be influenced by foreign narratives.

Pertamina NRE CEO John Anis, who was also present at the event, highlighted that countries like Brazil and India are far ahead in bioethanol blending. He stressed the urgency for Indonesia to catch up in implementing biofuel blending mandates in the transportation sector. John confirmed that Indonesia is currently only at the E5 stage, with distribution limited to areas in Jakarta and East Java. “India is already E20, Sir, so we don’t want to lose, we have to catch up with them. We are only at E5, distributed at 170 of our outlets in East Java and Jakarta,” he explained.