
Mission Biotechnologies Sdn. Bhd
Add a review FollowOverview
-
Founded Date October 12, 1901
-
Sectors Doctors
-
Posted Jobs 0
-
Viewed 5
Company Description
Indonesia Plans Increase in Palm Oil-based Biodiesel In 2025
JAKARTA, July 24 (Reuters) – Indonesia, the world’s most significant palm oil producer, is evaluating fuel with a view to increasing to 40% from 35% the share of palm-oil blended into biodiesel next year, the energy ministry stated.
If implemented, the B40 mandate could increase biodiesel consumption to as much as 16 million kilolitres (KL) next year, the ministry stated, from 13 million KL approximated to be consumed in 2024.
“We hope the trials might be finished in December, so that full execution of B40 might be brought out in 2025,” energy ministry senior official Eniya Listiani Dewi said in a statement on Tuesday.
The Indonesian Biofuel Producers Association (APROBI) said the market had the capability to satisfy B40 need, with installed capacity anticipated to increase to 20 million KL every year next year from 18 million KL now.
“However we will require more basic materials to fulfill B40 demand,” Ernest Gunawan, the secretary general of APROBI told Reuters on Wednesday.
The biodiesel industry would require 13.9 million metric loads of unrefined palm oil to produce 16 million KL biodiesel next year, from the approximated 11 million lots needed this year, he included.
Indonesia’s biggest palm oil association GAPKI stated a decline in exports suggested there would be enough raw materials to supply the B40 mandate for now.
But the industry would need to evaluate “which one would be better”, GAPKI chairman Eddy Martono stated, describing the possibility an increase in exports would make the domestic market less viable.
Indonesia’s palm oil output is approximated to reach 54.4 million loads in 2024, a 2.26% increase from last year, while exports are expected to decline by 2.47% to 29.5 million lots as domestic usage increased, driven by biodiesel required.
The ministry had actually tested the biodiesel, combined with 40% of palm oil, on a train for the very first time earlier this week, while preparing to check the B40 mix on agriculture equipment, power plants and in the shipping market, it said. (Reporting by Bernadette Christina and Dewi Kurniawati; Writing by Stanley Widianto; Editing by John Mair, Savio D’Souza and Barbara Lewis)