Indonesia World's First to Implement 50% Biodiesel Blend
Jakarta, CNBC Indonesia - The Ministry of Energy and Mineral Resources (ESDM) has confirmed that Indonesia will be the first country globally to implement a 50% biodiesel blend (B50), making it the sole nation to adopt such a high proportion of biofuel in its fuel mix across multiple sectors.
Director General of New, Renewable Energy and Energy Conservation (EBTKE) Eniya Listiani Dewi explained that the government is accelerating road testing of the B50 fuel blend.
“This is an excellent example and the world’s first. No other country uses 50% biodiesel blended into diesel,” Eniya stated at the 50th IPA Convention & Exhibition (Convex) in ICE BSD, Tangerang, on Monday, 25 May 2026.
The government is conducting simultaneous trials across six sectors to ensure infrastructure readiness and engine compatibility, including automotive, agricultural machinery, maritime transport, mining equipment, rail, and power generation operations.
“We are currently road-testing in six sectors: automotive, agriculture, factory machinery, maritime transport, mining equipment, railways, and power generation,” she added.
The mandatory implementation of B50 is targeted to commence in July 2026, building on the current B40 programme. “The good news is that the International Maritime Organization (IMO) now accepts this biodiesel as a tool to reduce emissions,” she added.
According to ESDM data, the B50 programme, set to launch in July 2026, is projected to save the nation up to Rp 157.28 trillion in foreign exchange. Beyond economic benefits, the policy is expected to create over 2.2 million new jobs.
Environmentally, B50 is expected to reduce greenhouse gas emissions by 46.72 million tonnes of CO2 in 2026. As of mid-April 2026, national biodiesel distribution had reached 3.90 million kilolitres, or 24.9% of the initial annual allocation of 15.65 million kilolitres.
Technically, B50 specifications have been enhanced to maintain engine performance, including reducing water content to a maximum of 300 ppm and monoglycerides to 0.47% by mass. Oxidation stability has been increased to a minimum of 900 minutes to ensure fuel quality during storage and distribution across regions.
The government aims to complete all automotive sector trials by June 2026, with other strategic sectors like heavy machinery and railways to be finalised progressively by year-end. With interim test results showing reliable and safe performance, B50 is poised to strengthen national energy independence.