PALMOILMAGAZINE, JAKARTA – The Minister of Energy and Mineral Resources (ESDM), Bahlil Lahadalia, has expressed confidence that the B40 biodiesel program will commence on January 1, 2025. B40 is a fuel blend comprising 40% palm oil (CPO) and 60% diesel, building on the government’s prior B35 program, which utilized a 35% palm oil blend.
“B40 will begin on January 1, and the program will gradually progress towards B100,” Bahlil stated during a press conference on the Ministry of Economic Affairs’ Quick Win Program at the Four Seasons Hotel, Kuningan, South Jakarta.
Bahlil explained that the ultimate goal is to achieve 100% biodiesel (B100), fully derived from palm oil. “Testing has been completed, and we are ready to implement it. Insya Allah, this program will proceed as planned,” he added, as reported by *Palmoilmagazine.com* citing *Kompas* on Thursday (7/11/2024).
Agus Cahyono Adi, Head of the Communication Bureau, Public Information Services, and Cooperation at the Ministry of Energy and Mineral Resources, highlighted the consistent rise in biodiesel utilization in recent years. “This growth reflects the government’s commitment to reducing fossil fuel dependency and enhancing energy security through biodiesel. The blending ratio will continue to increase, advancing from B35 to B40, and eventually to B50 and B60,” Agus noted in a press release.
For the record, B50 means a mixture of 50 percent palm oil and 50 percent diesel, while B60 consists of 60 percent palm oil and 40 percent diesel.
Data from the Ministry of Energy and Mineral Resources show that biodiesel realization in 2021 reached 9.3 million kiloliters (KL), increased to 10.45 million KL in 2022, and jumped again to 12.2 million KL in 2023 thanks to the implementation of the B35 mandate that began in August. The biodiesel program not only provides economic benefits, such as foreign exchange savings of IDR 120.54 trillion, but also increases the added value of CPO to biodiesel by IDR 15.82 trillion and employs more than 11,000 people (off-farm) and 1.5 million people (on-farm). (P2)
