JAKARTA – Head of Sustainability Division of the Association of Indonesian Biofuel Producers (Aprobi), Rapolo Hutabarat said that producers are now ready for the implementation of mandatory program of biodiesel 40 percent (B40), as an upgrade of the ongoing mandatory program of B35.

“Producers are ready for the B40 implementation. But it will depend on the government on when it will be implemented,” Rapolo Hutabarat said during a journalistic workshop on downstream palm oil industry in Bandung on Thursday (1/2/2024).

Rapolo said that the implementation of B40 is in line with the government’s mission to reduce carbon emissions until realizing the target of Net Zero Emission (NZE) in 2060.

According to him, it will also improve the welfare of oil palm smallholders through the price increase of their fresh fruit bunches (FFB). “Until now, the price of FFB is stable and even increases due to the implementation of the biodiesel production program,” said Rapolo.

Previously, Assistant to Deputy II at the economic coordinating ministry, Adi Yusuf said that the mandatory  biodiesel program has also enabled the government to save foreign exchange through the reduction of import of diesel fuel.

In 2022, the government managed to save foreign exchange at Rp122.65 trillion, and raised the added value of crude palm oil (CPO) by Rp12.2 trillion.

After the success of B35 program, the implementation of B40 program will further strengthen Indonesian position as the main producer of biodiesel in the world.

The Indonesian government, through the ministry energy and mineral resources (MEMR), has implemented the B35 program since 01 February 2023. Previously, the biodiesel program has been implemented since 2008 with a gradual upgrading of blending rate from 10% to 20%, and 30%.

Besides the biodiesel, Indonesia has been also ready for commercial production and business expansion of bioavture, biogasoline and biogas, which are all based on palm oil. (*)

Source: sawitku.id