The recent increase in oil prices have brought fresh push to the biodiesel mix mandatory, government targets to increase biodiesel mix to 25% or “B25” by 2019 from the current mix of 20%.
Energy and Mineral Resources Ministry director general for energy conservation and renewable energy Rida Mulyana on Thursday (May 24) said the government optimist to increase the mandatory biodiesel mix to 25% by 2019. This implementation is part of the government ambition to implement biodiesel mix of 30% by 2020.
The implementation of B25 in 2019 will benefit palm oil producers as it could be an alternative to export that is often disturbed by the anti-palm campaign in the international market.
The mandatory biodiesel mix has been launched since 2015. It started with 15% biodiesel mix for small medium enterprises (SMEs), fisheries, agriculture, and transportation in April 2015. Then, 20% mandatory biodiesel mix in January 2016.