Producers call for higher mandatory biofuel blending

Domestic producers of biofuel urged the government to increase the mandatory biofuel blending requirement to at least 20 percent in a bid to help increase domestic consumption.

Chairman of the Indonesian Biofuel Producers Association (Aprobi) MP Tumanggor told reporters Thursday that increasing the mandatory biofuel blending will help reduce fuel import and provide relief to the country?s palm oil producers amid shrinking global market.

The government currently requires diesel fuel used in transportation and industrial sector to contain at least 10 percent biofuel.

State-owned oil and gas firm PT Pertamina will require biofuel supply of at least 6.6 million kilo liters to meet demand until 2015. (*)