Jakarta (VNA) – The Indonesian Government is preparing to roll out the use of B50 biofuel from July 1, with expectations that the policy will help save around 157.28 trillion IDR (equivalent to 9.18 billion USD) this year.
As reported by the national news ageny Antara, Eniya Listiani Dewi, director general of new, renewable energy and energy conservative at the Indonesian Energy and Mineral Resources Ministry (ESDM), said that the B50 blend, consisting of 50% crude palm oil (CPO) and 50% fossil diesel, is still in the road testing phase, which has been underway since December 9, 2025.
The road testing on nine types of vehicles is targeted for completion in May. Following the road testing, ESDM Ministry will inspect the condition of the engines. Road testing and engine inspections for the automotive sector are targeted for completion in June.
According to Eniya, preliminary results of the B50 testing indicate that the quality of the fuel meets the required specifications.
In addition to the automotive sector, B50 is being tested in agricultural machinery, heavy mining equipment, maritime transportation, railways and power generation.
The Indonesian Government data show biodiesel utilisation reached 14.2 million kL in 2025, or 105.2% of the target of 13.5 million kL.
The planned shift to B50 is part of President Prabowo Subianto’s strategy to strengthen resilience against global supply disruptions. The government estimates the policy could reduce fossil fuel consumption by about 4 million kL annually./.
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The move is part of the Indonesian Government’s efforts to strengthen national energy independence by utilising palm oil as an alternative fuel, said Agriculture Minister Andi Amran Sulaiman.