Indonesia to require B50 biodiesel for all users by 2028

Indonesia will require all diesel users to switch to B50 fuel by 2028. The program starts this July to boost energy security and domestic palm oil use.

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The government of Indonesia has officially established a timeline for its ambitious biofuel blending mandates, requiring all biodiesel users to transition to a B50 standard by 2028. The Energy Ministry issued a ministerial decree to outline the phase-in process as the country seeks to enhance energy self-sufficiency and meet transition targets.

The B50 standard, which consists of a 50% palm oil-based fuel blend, was originally preceded by plans for a mandatory B40 blend in 2026. However, the government has moved to accelerate this schedule, with the B50 program now set to commence on July 1. This strategic shift is intended to provide a buffer against external market risks, including those arising from conflicts involving Iran. The decree, which was signed on March 3, marks a significant step in the nation's energy policy.

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