Eterindo stops biodiesel supply to Pertamina

By Thomas R. Sembiring

IDX-listed biodiesel producer PT Eterindo Wahanatama Tbk (Eterindo) has stopped biodiesel supply to state owned oil and gas firm PT Pertamina over price.

Eterindo?s President Director Yudianto Kosman said the firm was not satisfied with the MOPS-based price set by Pertamina, claiming it was a factor that the firm suffered Rp 141.8 billion last year.

Unless Pertamina sets a new price, that is CPO plus US$125 per ton plus transportation cost, the firm will no longer supply to Pertamina.

In 2013, the firm signed an agreement to Pertamina to supply a total of 36,000 tons of biodiesel in 2014. However, due the price concerns, Eterindo stopped the supply after sending only 23,000 tons.

As of May this year, Eterindo has only produced 8000 tons of biodiesel of its annual production capacity of 140,000 tons.

Editing by Johannes Simbolon