Ministry sets higher October reference price for biodiesel, bioethanol
Thursday, September 26 2019 - 04:58 PM WIB
The Directorate General for New and Renewable Energy at the Ministry of Energy and Mineral Resources (MEMR) has set biofuel reference prices (or HIP BBN) for October 2019 period at Rp 7,358 per liter for biodiesel and at Rp 10,273 per liter for bioethanol.
The ministry said in a statement that the October biodiesel and bioethanol reference prices were higher compared to September’s prices of, respectively Rp 6,929 per liter and Rp10,091 per liter.
The higher prices were line with higher crude palm oil price during the period of 15 August to 14 September, the statement said.
HIP BBN is set as a reference price for the government agencies to purchase biodiesel from producers as an implementation of the B-20 program.
The biodiesel reference price is set based on certain formula that takes into account the CPO price as well as the rupiah exchange rate.
Editing by Reiner Simanjuntak