B50 Tested, Energy Minister: Indonesia Eyeing Implementation by 2026 Second Half

October 9, 2025 | 04:10 pm

TEMPO.CO, Jakarta - Indonesian Minister of Energy and Mineral Resources, Bahlil Lahadalia, said the government has conducted tests for the 50 percent biodiesel blend or B50. This year, he said, Bahlil said the government tested the soal and biodiesel blend in trains, heavy equipment, vessels, and cars.

"Once it has been declared 'clear and clean,' God willing, we can launch it in the second semester of 2026," said Bahlil during the Investor Daily Summit at the Jakarta International Convention Center, Senayan, on Thursday, October 9, 2025.

Since 2016, the Indonesian government has issued a mandate to cut down solar subsidies and imports. Subsequently, Indonesia launched the biodiesel initiative, initially B10, which has now reached B40 in 2025.

The Golkar Party chair claimed that palm oil farmers' growth echoes the increase in biodiesel blend. "Utilizing CPO optimally would bolster the value of palm oil farmers," he said.

Additionally, Bahlil said President Prabowo Subianto has given a green light to the B50 design. In a limited meeting, Bahlil said Prabowo approved for the Ministry of Energy and Mineral Resources to launch B50 next year.

"We will no longer import solar," he said, adding that despite disrupting solar importers, the country could not concede to their will.

"Importers may think: oh, we are done with this toy," he said.

In early 2025, the government implemented a 40 percent biodiesel blend or B40, with 40 percent Fatty Acid Methyl Esters (FAME) based on CPO and 60 percent solar.

The biodiesel blends, Bahlil said, line up with Prabowo's Asta Cita goal for energy resilience and self-sufficiency, as well as the government's target to achieve net zero emissions by 2060.

This policy has drawn criticism. Policy Strategist Cerah, Sartika Nur Shalati, said the plan to expand palm oil plantations is closely linked to President Prabowo's energy self-sufficiency ambition through the development of biodiesel and biomass co-firing from palm oil products at power plants. This is because, for the development of B50 biodiesel alone, an expansion of palm oil plantations by 2.5-3 times from the current 16 million hectares is required.

Not only that, but the expansion of palm oil plantations and their use as raw material for biomass co-firing at power plants will actually hinder energy transition acceleration. This step can prolong the use of coal in power plants, which should soon be retired.

This initiative also goes in contrary to Prabowo's G20 remark in Brazil about the plan to phase out power plants for the next 15 years.

"Energy self-sufficiency is necessary indeed, but if it sacrifices forests through land conversion into monoculture palm oil plantations, it becomes less appropriate. Let's not solve one problem, but create even more complex new problems," said Sartika in an official statement quoted on Saturday, February 1, 2025.

Dani Aswara contributed to the writing of this article.

Editor’s Choice: Indonesia Needs to Expand Biodiesel Capacity for B50, Industry Group Says

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