B40 biodiesel consumption exceeds target in 2025, cuts diesel imports
Saturday, January 10 2026 - 08:52 AM WIB
By Pandu Setiabudi
Indonesia’s B40 biodiesel consumption reached 14.2 million kilolitres in 2025, exceeding the government’s target of 13.5 million kL, the Ministry of Energy and Mineral Resources (MEMR) said on Thursday.
The figure represents 105.2% of the annual target and was announced by Energy and Mineral Resources Minister Bahlil Lahadalia during a press conference on Jan. 8.
The mandatory B40 policy helped reduce Indonesia’s diesel imports by around 3.3 million kL in 2025 compared with the previous year.
“Our diesel imports in 2025 fell to around 5 million kL from 8.3 million kL in 2024 due to the implementation of B40,” Bahlil said.
He said the government would continue efforts to curb diesel imports, particularly CN 48 diesel. Imports of higher-grade CN 51 diesel, however, may continue as domestic production has yet to fully meet demand.
Read also: B40 Biodiesel mandate projected to Require Rp 47T funding in 2025
The government is also testing a higher biodiesel blend, B50, with road trials expected to be completed by mid-2026.
Director General of New and Renewable Energy and Energy Conservation (EBTKE) at the ministry, Eniya Listiani Dewi, said Indonesia’s installed biodiesel production capacity currently stands at about 22 million kL.
“This capacity is more than sufficient for B40, but for full-year implementation of B50 in both the public service obligation (PSO) and non-PSO segments, additional capacity will be needed,” Eniya said.
The ministry said the B40 programme in 2025 generated foreign exchange savings of Rp130.21 trillion ($8.3 billion), reduced emissions by 38.88 million tonnes of CO2 equivalent, and added Rp20.43 trillion in value to crude palm oil through its conversion into biodiesel.
Separately, Bahlil said the government is preparing a roadmap for a bioethanol blending mandate, which is expected to be implemented by no later than 2028.
“The roadmap is still being prepared, but I can assure you that mandatory implementation will be in place by 2028 at the latest,” he said.
Editing by Reiner Simanjuntak