October 28, 2025 | 04:03 pm
TEMPO.CO, Jakarta - Deputy Minister of Investment and Downstream Industry, Todotua Pasaribu, has announced that several companies are interested in building ethanol factories in Indonesia, including Japan-based auto manufacturer Toyota. This move is intended to support the use of 10 percent ethanol-blended fuels, known as E10.
"Toyota is one of those keen on building an ethanol factory," Todotua told reporters after the 100 Economists Forum at Bank Mega Tower, Jakarta, on Tuesday, October 28, 2025. He mentioned that Toyota has automotive products that run on 100 percent ethanol, known as E100.
According to Todotua, if the E10 policy is implemented, ethanol demand is estimated to reach around 4 million kiloliters per year. Therefore, Indonesia must up ethanol production to reduce reliance on imports. He mentioned that bioethanol sources such as cassava, sorghum, and corn are available in Indonesia.
Minister of Energy and Mineral Resources, Bahlil Lahadalia, will mandate a 10 percent bioethanol (E10) blend by 2027. This measure aims to create energy sources from plants and build energy sovereignty, enabling Indonesia to reduce gasoline imports.
The plan to implement mandatory E10 was also discussed in a meeting with Brazil. "They (Brazil) mandate ethanol, with E30 in their country, but in certain states, it goes up to E100, and there is also E85," Bahlil stated during the Mining and Energy Anniversary Ceremony at the National Monument, Jakarta, on Friday, October 24, 2025, as quoted by Antara.
Editor’s Choice: Indonesia, Brazil to Jointly Develop Ethanol Fuel, Says Energy Minister
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