Indonesia highlights B50 role in energy security

Jakarta (ANTARA) - The implementation of Indonesia's 50 percent biodiesel (B50) program reflects the readiness and progress of the country's agricultural sector in supporting national energy security, Deputy Minister of Agriculture Sudaryono said.

"With B50, it demonstrates our readiness as an agricultural nation, leveraging the wealth, fertility, and hard work of our farmers to ensure food security and achieve energy self-sufficiency in the future," Sudaryono said in a statement on Thursday (July 16).

He noted that the implementation of the B50 mandate has enabled Indonesia to stop importing diesel fuel as of July.

According to Sudaryono, around half of the country's diesel fuel demand is now supplied by domestic fossil fuel production, while the remaining half is met through biodiesel produced from domestically sourced palm oil.

Data from the Ministry of Energy and Mineral Resources (ESDM) shows that Indonesia's annual diesel fuel consumption has reached 39 million kiloliters (KL). Before adopting the B50 mandate, the government had implemented the 40 percent biodiesel (B40) program nationwide.

The Ministry of Agriculture expects the B50 policy to help stabilize fresh fruit bunch (FFB) prices at the farmer level while reducing dependence on imported fuel.

The increased use of palm oil as biodiesel feedstock is also expected to expand the domestic market, increase the commodity's added value, and improve farmers' welfare.

Indonesia's palm oil industry has continued to grow. Crude palm oil (CPO) production reached 51.66 million tons in 2025, up 7.3 percent from 48.16 million tons in 2024.

During the same period, CPO exports increased from 29.53 million tons to 32.34 million tons, alongside the expansion of domestic biodiesel feedstock utilization.

"We can see that we need to add 8.5 million tons of CPO as we have improved to B50," Sudaryono said.

The B50 policy, officially launched by President Prabowo Subianto in Karawang, West Java, on July 4, represents a major milestone in Indonesia's efforts to achieve energy independence while creating greater economic value for palm oil farmers across the country.

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Translator: Arnidhya Nur Zhafira, Yashinta Difa

Editor: Primayanti

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