President attends launch of mandatory B50 programme in Karawang

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 the government’s efforts to strengthen national energy independence and security. The President arrived accompanied by Minister of Energy and Mineral Resources Bahlil Lahadalia, CEO of BPI Danantara Rosan Roeslani, and President Director of Pertamina Simon Aloysius Mantiri. Upon arrival, the President first received an explanation regarding the Mandatory B50 Programme before proceeding to the launch podium. He was greeted by several officials, including West Java Governor Dedi Mulyadi and Coordinating Minister for Economic Affairs Airlangga Hartarto. The Mandatory B50 Programme is part of the government’s strategy to reduce dependence on imported fuel oil, increase the added value of national natural resources, and strengthen Indonesia’s energy and economic resilience. In its implementation, biofuel business entities, fuel oil business entities, and distributor business entities are required to meet established quality standards. Violations of these provisions may result in administrative sanctions, ranging from written warnings to revocation of business licences. To support the transition period, the government has given fuel oil business entities until 30 September 2026 to exhaust B40 biodiesel stocks. The Ministry of Energy and Mineral Resources will also evaluate the implementation of B50 every three months. The government stated that the implementation of B50 has been prepared from technical, supply, distribution, and regulatory aspects. Testing was conducted across six diesel engine user sectors, namely automotive, agricultural tools and machinery, heavy mining equipment, marine transportation, power generation, and railways, involving ministries and agencies, business entities, associations, academics, technology owners, and user industries. Interim results indicate that B50 is safe to use and meets performance and compatibility aspects for various diesel engine applications, although some testing is still ongoing. The programme is also projected to increase the added value of crude palm oil from Rp20.92 trillion to approximately Rp23.49 trillion, absorb around 2.1 million workers, and reduce greenhouse gas emissions by up to approximately 44.46 million tonnes of CO2 in 2026.