The Indonesian producers of biodiesel have planned to increase their new investments to increase the production of biodiesel under the programs of B30, B40 and B100, which will increase the local absorption of crude palm oil (CPO) in Indonesia.
The Association of Indonesian biodiesel producers (Aprobi) Chairman Paulus Tjakrawan said that to meet the rising demand of the fatty acid methyl esther (FAME), which is derived from crude palm oil (CPO), as the raw material for the production of biodiesel under the programs of B30, and B40 in 2022, a number of biodiesel producers are preparing their new investments to increase their installed production capacity.
“Both old and new investors will increase their investments to improve the quality of biodiesel and to increase their production volume.,” said Paulus on Tuesday.
He said that there will be an increase of biodiesel production capacity up to 5.5 million kiloliters until next year. Currently, the total installed production capacity is at around 11.6 million kiloliters, while utilized capacity is around 9.6 million kiloliters. That means the total installed capacity will reach 17.1 million kiloliters next year.
According to him, this year there should be an increase of installed capacity of 3.0 million kiloliters. But apparently, the outbreak of Coronavirus disease 2019 (Covid-19) had slowed down the development of the production capacity.
Meanwhile, PT Pertamina (Persero) reported that its refinery plant in Cilacap will start producing biodiesel 100 percent (B100) in June next year (2021).
Pertamina President Director Nicke Widyawati said during a virtual discussion on Monday that it is in line with the instruction of President Joko Widodo (Jokowi) to increase biodiesel production as the country has an abundant supply of crude palm oil (CPO) as the raw material.
She said that currently the Cilacap refinery is still undergoing a process of revamping to allow it to produce the B100 direct from CPO. When on stream in 2021, the refinery will be able to produce B100 at the capacity of 3,000 barrels per day, and then it will be increased up to 6,000 bpd.
“Our refineries will produce the biodiesel B100 direct from CPO. Besides in Cilacap refinery, we will also produce the B100 in Plaju refinery at the capacity of 20,000 bpd.
She pointed out that Pertamina managed to produce B20 in 2018, and B30 in 2019. (*)
Source: Bisnis Indonesia
