Greater Push for Biodiesel in Indonesia, Malaysia

by Peter Sibon (Borneo Post) ... In South East Asia, Indonesia is moving ahead of the rest of the pack to implement B20 – an oil mix which contains 20 per cent of biodiesel derived from palm oil – in its market since 2016.

With a population of about 250 million people, the Indonesiam government has put forth in its policy which gives subsidy to end-users of the B20.

According to Indonesia’s director of Bio Energy of the Ministry of Energy and Mineral Resources Sudjoko Harsono Adi, since its implementation of B20 last year, Indonesia has been able to save up to US$1 billion from the import of diesel.

“As a net oil import country, we really have no choice but to implement B20. And by implementing B20, we are also allowing our palm oil farmers to earn better income from their crop,” Sudjoko told Malaysian delegates at his office in Jakarta recently.

The three-day Jakarta trip organised by the Malaysna Palm Oil Board (MPOB), was organised to get a first-hand experience on how Indonesia has been able to introduce the B20 with minimal glitches.

“Warranties (for B20) are given to all our trucks,” said chairman of the Indonesian Trucking Association Drs Gemilang Tarigan.

He added that currently, there are some six million trucks plying Indonesia roads which are using B20.

Prior to its implementation, the Indonesian government has done a comprehensive studies on B20 on its commercial vehicles for three years.

“Based on its finding, which was based on few models after 40,000km on the roads, there was no side effect on the vehicles tested,” said Abdul Rachim, the secretary of GAIKINDO during their meeting. READ MORE