PALMOILMAGAZINE, JAKARTA – In accordance with the Third Decision of Regulation by the Minister of Energy and Mineral Resources (EMR) Number 146.K/HK.02/DJE/2021 regarding the Market Index Price (MIP) of Vegetable Fuel Material, particularly for Biodiesel blended into fuel, this regulation has been superseded by the Decision of Minister of EMR Number 21.K/HK.02/DJE/2023.
As per the latest directive, the conversion rate of crude palm oil to biodiesel is set at US$ 85 per metric ton (MT). Additionally, the MIP for vegetable fuel biodiesel in February 2024 stands at Rp 11,371 per liter, inclusive of transportation costs, which will become effective as of February 1, 2024.
According to document attachment Number T-330/EK.05/DJE.B/2024 on 28 January 2024, transportation cost would refer to maximal costs of vegetable fuel kind of biodiesel which is mixed to fuel which is regulated in the decision of minister about MIP vegetable oil kind of biodiesel which is mixed to fuel.
“Currency conversion would apply the average medium currency of Indonesian Bank on 25 December 2023 until 24 January 2024 which was Rp 15.541,” the regulation noted, as Palmoilmagazine.com quoted from the official page of General Directorate of New Renewable Energy and Energy Conversion, Thursday (15/2/2024).
According to what Palmoilmagazine.com calculated, palm oil biodiesel MIP in February 2024 escalates Rp 421/liter to January 2024 MIP that was Rp 10.896/liter. (T2)
