Regulations

Indonesia officially launched its latest biodiesel blending mandate on Thursday, requiring a fuel blend of half palm-based diesel and ​conventional diesel known as B50, as President Prabowo Subianto pushes to cut fuel imports and achieve energy self-sufficiency. The rollout of the new blend will raise domestic palm oil demand.

President Prabowo Subianto gestures on Thursday as he delivers remarks at the launch of Indonesia's B50 biodiesel program in Karawang, West Java. (Courtesy of/BPMI Setpres)

Indonesia officially launched its latest biodiesel blending mandate on Thursday, requiring a fuel blend of half palm-based diesel and ​conventional diesel known as B50, as President Prabowo Subianto pushes to cut fuel imports and achieve energy self-sufficiency.The new mandate raises the required biodiesel blend to 50 percent from 40 percent, effective July 1.

Fuel distributors have been given a three-month transition period to clear remaining B40 inventories under a regulation issued in June, while biodiesel producers have been instructed to supply higher-quality palm methyl ester (PME) suitable for the new blend.