The Government Plans To Halt Diesel Imports If B50 Is Launched In 2026

The government plans to stop importing diesel fuel. The Minister of Energy and Mineral Resources, Bahlil Lahadalia, stated that this could happen when the biodiesel B50 is implemented in Indonesia in 2026. "For biodiesel B40 in 2025, we aim for about 15.6 million kiloliters, and in 2026, we will push for B50. God willing, we will no longer import diesel," Bahlil said during a press conference at the Ministry of ESDM in Central Jakarta on Monday (February 3, 2025). He also confirmed that the crude palm oil (CPO) needed for B50 is ready. "For 2026, we will implement B50. Everything is prepared regarding the CPO," he added.

He believes that the mandatory B40 could save up to Rp 147.5 trillion in foreign exchange. The sale of this blended fuel aims to reduce carbon dioxide (CO2) emissions by 41.46 million tons, increase the added value of CPO by Rp 20.9 trillion, and create job opportunities. This year, the government has set the B40 allocation at 15.6 million kiloliters of biodiesel, with 7.55 million kiloliters designated for public service obligation (PSO) and 8.07 million kiloliters for non-PSO. The implementation of the mandatory B40 program is outlined in the Minister of ESDM Decision No. 341.K/EK.01/MEM.E/2024 regarding the use of biodiesel as a blend for diesel fuel, financed by the Palm Oil Plantation Fund Management Agency at 40 percent.

Tag: Bahlil Lahadalia CPO Crude Palm Oil