Indonesia will stop importing diesel and replace it with B50 biofuel
Indonesian authorities intend to stop importing diesel fuel starting July 1 and replace it with fuel made 50/50 from palm oil, according to Agriculture Minister Andi Amran Suleiman.
“We will no longer import diesel fuel. We will stop [importing diesel] starting July 1, 2026, as we will begin using biofuel. <…> This is the energy of the future for Indonesia, as it is produced from palm oil,” the minister said, according to the Antara news agency.
According to the official, the authorities are taking this step to strengthen the country’s energy independence. The minister noted that palm oil can be used to produce not only an alternative to diesel but also gasoline and ethyl alcohol.
Experts estimate that raising Indonesia’s mandate to B50 will increase demand for palm oil by 1.5 million tons per year, reducing the volumes available for sale to foreign markets and raising export prices for the product.
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