This will delete the page "Indonesia Plans Increase in Palm Oil-based Biodiesel In 2025"
. Please be certain.
JAKARTA, July 24 (Reuters) - Indonesia, the world's greatest palm oil manufacturer, is evaluating 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 implemented, the B40 mandate could increase biodiesel usage to approximately 16 million kilolitres (KL) next year, the ministry stated, from 13 million KL approximated to be consumed in 2024.
"We hope the trials could be completed in December, so that full execution of B40 could be brought out in 2025," energy ministry senior official Eniya Listiani Dewi stated in a statement on Tuesday.
The Indonesian Biofuel (APROBI) stated the market had the capability to fulfill B40 need, with set up capacity expected to rise to 20 million KL each year next year from 18 million KL now.
"However we will require more basic materials to satisfy B40 need," Ernest Gunawan, the secretary general of APROBI told Reuters on Wednesday.
The biodiesel market would require 13.9 million metric tons of crude palm oil to produce 16 million KL biodiesel next year, from the approximated 11 million lots needed this year, he added.
Indonesia's greatest palm oil association GAPKI stated a decline in exports indicated there would be sufficient basic materials to provide the B40 required for now.
But the industry would need to assess "which one would be more valuable", GAPKI chairman Eddy Martono stated, describing the possibility an increase in exports would make supplying the domestic market less practical.
Indonesia's palm oil output is estimated to reach 54.4 million loads in 2024, a 2.26% boost from in 2015, while exports are anticipated to decline by 2.47% to 29.5 million tons as domestic consumption rose, driven by biodiesel mandate.
The ministry had actually evaluated the biodiesel, blended with 40% of palm oil, on a train for the very first time previously this week, while planning to evaluate the B40 mix on agriculture machinery, power plants and in the shipping industry, it said. (Reporting by Bernadette Christina and Dewi Kurniawati
This will delete the page "Indonesia Plans Increase in Palm Oil-based Biodiesel In 2025"
. Please be certain.