Based on a report by the Indonesian Biofuel Producers Association (Aprobi), Indonesia produced approximately 10.8 million kiloliters (KL) of biodiesel during the January-November 2022 period.
Most of the 2022 biodiesel production (approximately 9.4 million KL) was distributed domestically, while only 322,500 KL was exported.
Previously, during the 2011-2013 period, Indonesian biodiesel exports exceeded domestic distribution. However, since 2014, domestic distribution has significantly surpassed exports, as shown in the graph.
The utilization of biodiesel in Indonesia is also expected to increase this year, following the government's B35 mandate, which requires a 35% biodiesel blend in diesel fuel starting February 1, 2023.
"The implementation of B35 is a form of the government's commitment to addressing the climate crisis by significantly reducing greenhouse gas emissions, accelerating inclusive, clean, and sustainable energy, and encouraging investment to achieve Net Zero Emission," said Coordinating Minister for Economic Affairs Airlangga Hartarto in a press release on Tuesday (January 31, 2023).
Dadan Kusdiana, Director General of New, Renewable Energy, and Energy Conservation (EBTKE) at the Ministry of Energy and Mineral Resources (ESDM), stated that the B35 program considers all relevant aspects, including vehicle power, engines, materials, lubricants, combustion chambers, and resulting carbon emissions.
"As a result, the B35 blend is recommended for use," said Dadan in a press release on Tuesday (January 31, 2023).
With the B35 program, Aprobi's Chairman, Paulus Tjakrawan, believes the current challenge for the biodiesel industry is ensuring sufficient raw material stock to meet national needs.
Currently, Indonesian biodiesel production primarily uses palm oil (crude palm oil/CPO) as its main raw material.
"Furthermore, other challenges include reducing monoglyceride levels, reducing water content in biodiesel, maintaining oxidation stability, and importantly, preparing biodiesel storage and distribution transportation," said Paulus in a press release on Tuesday (January 31, 2023).