Indonesian Political, Business & Finance News

President attends launch of mandatory B50 programme in Karawang

| Source: ANTARA_ID Translated from Indonesian | Energy
President attends launch of mandatory B50 programme in Karawang
Image: ANTARA_ID

Jakarta (ANTARA) – President Prabowo Subianto attended the launch of the Mandatory B50 Programme at the KM 57 Rest Area in Karawang Regency, West Java, on Thursday, as part of government efforts to strengthen national energy independence and resilience.

The President arrived accompanied by Minister of Energy and Mineral Resources Bahlil Lahadalia, CEO of Danantara BPI Rosan Roeslani, and Pertamina President Director Simon Aloysius Mantiri.

Monitoring the Presidential Secretariat’s live broadcast from Jakarta, upon arrival at the site the President first received a briefing on the Mandatory B50 Programme before entering the launch podium.

At the venue, the President was greeted by a number of officials, including West Java Governor Dedi Mulyadi and Coordinating Minister for Economic Affairs Airlangga Hartarto.

The Mandatory B50 Programme forms part of the government’s strategy to reduce dependence on imported fuel, increase the added value of national natural resources, and strengthen Indonesia’s energy and economic resilience.

In its implementation, biodiesel business entities, fuel business entities, and distribution business entities are required to meet established quality standards. Violations of these provisions may attract administrative sanctions, ranging from written warnings to revocation of business licences.

To support the transition period, the government has given fuel business entities until 30 September 2026 to exhaust their B40 biodiesel stocks. The Ministry of Energy and Mineral Resources will also conduct evaluations of B50 implementation every three months.

The government stated that the implementation of B50 has been prepared in terms of technical aspects, supply, distribution, and regulation. Testing was carried out across six diesel engine user sectors, namely automotive, agricultural tools and machinery, mining heavy equipment, maritime transport, power generation, and railways, involving ministries and agencies, business entities, associations, academics, technology owners, and user industries.

Interim results show that B50 is safe to use and meets performance and compatibility requirements across various diesel engine applications, although some testing is still ongoing.

The programme is also projected to raise the added value of crude palm oil (CPO) from Rp20.92 trillion to around Rp23.49 trillion, absorb approximately 2.1 million workers, and reduce greenhouse gas emissions by up to around 44.46 million tonnes of CO2 in 2026.

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