Official Bioethanol Price Falls to Rp7,949 per Litre, Effective March 2026

Jakarta – The Ministry of Energy and Mineral Resources (ESDM) has officially established the Market Index Price (HIP) for bioethanol under the Biofuel Fuel (BBN) programme for March 2026 at Rp7,949 per litre. This price represents a decrease compared with the previous month’s rate of Rp8,019 per litre.

The determination is documented in a letter from the Director General of New, Renewable Energy, and Energy Conservation (EBTKE) numbered B-625/EK.05/DJE.B/2026 dated 27 February 2026, addressed to the Director General of Budget at the Ministry of Finance of the Republic of Indonesia.

The letter clarifies that the HIP for bioethanol in February 2026 takes effect from 1 March 2026 onwards.

The ministry stated: “Furthermore, in the spirit of Energy Transition, the Directorate General of EBTKE remains committed to applying civil servant core values to realise excellent and integrity-based public service, as part of establishing an Integrity Zone moving towards an Area Free from Corruption and a Clean and Service-Oriented Bureaucracy.”

The price calculation utilises a formula established under ESDM Ministerial Decision Number 6034K/12/MEM/2016: HIP = (Average sugarcane molasses price for KPB three-month period x 4.125 kg/litre) + 0.25 US$/litre.

The average price of sugarcane molasses for the KPB period from 15 October 2025 to 14 February 2026 was recorded at Rp907 per kilogramme. The exchange rate used references the average mid-rate of Bank Indonesia for the period 15 January 2025 to 14 February 2026, which stood at Rp16,836.