Minister Bahlil Threatens to Revoke Mining Permits if Companies Refuse to Use B50 Biodiesel

Energy and Mineral Resources Minister Bahlil Lahadalia has issued an ultimatum to business owners, particularly in the mining sector, to immediately adopt B50 biodiesel in their operations. He acknowledged that initially, many entrepreneurs were reluctant to use B50, citing its higher price. “We conveyed that initially, these entrepreneurs did not want to use it because they said the price was expensive,” Bahlil stated during the inauguration of the B50 Mandatory Launch in Karawang, West Java, on Thursday, 9 July 2026. However, he confirmed that the government has continued to engage with these large companies, especially those in the mining sector. Bahlil did not hesitate to threaten a review of the companies’ Work Plan and Budget (RKAB) if they failed to support the national policy. “I have already said, if you do not use B50, I will review your RKAB. So there are no excuses,” he asserted. Bahlil even named several business figures present at the B50 launch event. “Now we have spoken with entrepreneurs, especially in mining; there is Boy Thohir over there, there is Astra, and then Mr Arsjad Rasyid,” Bahlil said. His statement immediately drew the attention of the guests in attendance and served as confirmation that the government is serious about promoting the use of palm oil-based biodiesel across various industrial sectors. He emphasised that he had given a direct warning to business actors to support the implementation of B50 as part of the government’s strategic policy. “So we must use this domestic product, not foreign ones all the time. They have now committed to the President,” he stated.