Indonesia will end diesel imports from 2026.

VTV.vn - Starting in 2026, Indonesia will use B50 biofuel, ending diesel imports and saving more than $10 billion annually.

The Indonesian government will begin mandating the use of B50 biofuel (diesel blended with 50% vegetable oil - FAME) from 2026, thereby completely ending diesel imports.

According to Energy and Mineral Resources (ESDM) Minister Bahlil Lahadalia, the B50 program is a strategic step towards achieving national energy sovereignty and moving toward becoming diesel-free. Switching to B50 will not only reduce Indonesia's dependence on imports but also maximize the potential of domestic palm oil production, strengthen farmers' livelihoods, and ensure energy security.

Between 2020 and 2025, the use of biofuels helped Indonesia save $40.71 billion. The deployment of B50s from 2026 is projected to bring in an additional savings of approximately $10.84 billion per year.

Currently, Indonesia still imports approximately 4.9 million kiloliters of diesel fuel, equivalent to 10.58% of its total domestic demand (1 kiloliter = 1,000 liters). When the B50 system becomes fully operational, these imports will be completely replaced by domestic supply.

To meet the demand for B50 fuel, the government aims to increase FAME production capacity from 15.6 million kiloliters in 2025 to 20.1 million kiloliters in 2026.

According to the Ministry of Energy and Mineral Resources, this policy not only strengthens energy security but also creates economic spillover effects. The palm oil and biofuel industry is expected to attract approximately 2.5 million workers at plantations and 19,000 workers at processing plants.

Minister Bahlil stated that the mandatory B50 policy is part of the government's vision to create a new economic order based on the efficient use of domestic resources and the development of renewable energy. It also demonstrates Indonesia's commitment to building a sustainable, resilient, and energy-independent economy.

Source: https://vtv.vn/indonesia-se-cham-dut-nhap-khau-dau-diesel-tu-nam-2026-100251011070922086.htm