Deleting the wiki page 'Indonesia Plans Increase in Palm Oil based Biodiesel In 2025' cannot be undone. Continue?
JAKARTA, July 24 (Reuters) - Indonesia, the world's biggest palm oil manufacturer, is checking fuel with a view to increasing to 40% from 35% the share of palm-oil mixed into biodiesel next year, the energy ministry said.
If carried out, the B40 required could increase biodiesel consumption to as much as 16 million kilolitres (KL) next year, the ministry said, from 13 million KL estimated to be consumed in 2024.
"We hope the trials might be finished in December, so that full execution of B40 could be performed in 2025," energy ministry senior main Eniya Listiani Dewi said in a declaration on Tuesday.
The Indonesian Biofuel Producers Association (APROBI) said the industry had the capacity to fulfill B40 demand, with set up capability anticipated to rise to 20 million KL each year next year from 18 million KL now.
"However we will require more basic materials to meet B40 demand," Ernest Gunawan, the secretary general of APROBI informed Reuters on Wednesday.
The biodiesel industry would need 13.9 million metric tons of unrefined palm oil to produce 16 million KL biodiesel next year, from the approximated 11 million heaps needed this year, he included.
Indonesia's biggest palm oil association GAPKI said a decrease in exports meant there would suffice raw products to supply the B40 mandate for now.
But the industry would require to examine "which one would be better", GAPKI chairman Eddy Martono said, referring to the possibility a boost in exports would make supplying the domestic market less viable.
Indonesia's palm oil output is estimated to reach 54.4 million tons in 2024, a 2.26% increase from last year, while exports are anticipated to decrease by 2.47% to 29.5 million heaps as domestic consumption rose, driven by biodiesel required.
The ministry had actually checked the biodiesel, mixed with 40% of palm oil, on a train for the very first time previously this week, while planning to check the B40 mix on farming equipment, power plants and in the shipping industry, it stated. (Reporting by Bernadette Christina and Dewi Kurniawati
Deleting the wiki page 'Indonesia Plans Increase in Palm Oil based Biodiesel In 2025' cannot be undone. Continue?