{"id":11198,"date":"2023-01-10T12:55:56","date_gmt":"2023-01-10T05:55:56","guid":{"rendered":"https:\/\/tractionenergy.asia\/?p=11198"},"modified":"2023-07-26T14:01:26","modified_gmt":"2023-07-26T07:01:26","slug":"indonesias-biofuel-push-must-go-beyond-palm-oil-to-reduce-risk-experts-say","status":"publish","type":"post","link":"https:\/\/tractionenergy.asia\/en\/indonesias-biofuel-push-must-go-beyond-palm-oil-to-reduce-risk-experts-say\/","title":{"rendered":"Indonesia\u2019s Biofuel Push Must Go Beyond Palm Oil to Reduce Risk, Experts Say"},"content":{"rendered":"<figure id=\"attachment_11199\" aria-describedby=\"caption-attachment-11199\" style=\"width: 451px\" class=\"wp-caption aligncenter\"><img fetchpriority=\"high\" decoding=\"async\" class=\" wp-image-11199\" src=\"https:\/\/tractionenergy.asia\/wp-content\/uploads\/2023\/07\/mongabay__1-1-300x111.jpeg\" alt=\"\" width=\"451\" height=\"167\" srcset=\"https:\/\/tractionenergy.asia\/wp-content\/uploads\/2023\/07\/mongabay__1-1-300x111.jpeg 300w, https:\/\/tractionenergy.asia\/wp-content\/uploads\/2023\/07\/mongabay__1-1-1024x380.jpeg 1024w, https:\/\/tractionenergy.asia\/wp-content\/uploads\/2023\/07\/mongabay__1-1-768x285.jpeg 768w, https:\/\/tractionenergy.asia\/wp-content\/uploads\/2023\/07\/mongabay__1-1-1536x570.jpeg 1536w, https:\/\/tractionenergy.asia\/wp-content\/uploads\/2023\/07\/mongabay__1-1.jpeg 1600w\" sizes=\"(max-width: 451px) 100vw, 451px\" \/><figcaption id=\"caption-attachment-11199\" class=\"wp-caption-text\">Palm oil fresh fruit bunches in Riau, Indonesia. Image by Hans Nicholas Jong\/Mongabay.<\/figcaption><\/figure>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><i><span style=\"font-weight: 400;\">Indonesia faces deforestation, energy and security risks from its overreliance on palm oil as a feedstock for its biofuel transition program, observers say.<\/span><\/i><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><i><span style=\"font-weight: 400;\">The government will in February increase the biofuel blend in diesel to 35%, from the current 30%, with an eye on a 50:50 blend by 2025 \u2014 and eventually fossil-free biodiesel.<\/span><\/i><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><i><span style=\"font-weight: 400;\">But the program calls for a massive increase in palm oil production \u2014 and with yields largely stagnant, this will almost certainly mean clearing more land to establish new oil palm plantations.<\/span><\/i><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><i><span style=\"font-weight: 400;\">Experts say the government should diversify its sources of biofuel feedstock to curb the expansion of plantations into forests and to reduce the other risks that comes from relying on a single feedstock.<\/span><\/i><\/li>\n<\/ul>\n<p><span style=\"font-weight: 400;\">JAKARTA \u2014 Indonesia must develop a new feedstock alternative to palm oil as the government intensifies an ambitious biofuel program meant to move away from diesel, observers say.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">From <\/span><span style=\"font-weight: 400;\">February this year<\/span><span style=\"font-weight: 400;\">, diesel sold at the pump must be a blend of 65% fossil diesel and 35% plant-based biodiesel, or B35. The currently available blend of diesel is B30, which means it contains 30% biofuel, derived from palm oil.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">This intensification, set to increase to B50 by 2025, and eventually B100 \u2014 biofuel with zero fossil diesel \u2014 will invariably mean more oil palm plantations will have to be established. And with new plantations comes the associated risk of an increase in deforestation, experts warn.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">\u201cFrom the studies that we collected \u2026 there\u2019s a resounding theme,\u201d Anggalia Putri, from the environmental NGO Madani, said at a recent discussion in Jakarta. \u201cIt looks like additional lands will be needed [to meet the biofuel demand].\u201d<\/span><\/p>\n<p><span style=\"font-weight: 400;\">She cited a <\/span><span style=\"font-weight: 400;\">2021 study<\/span><span style=\"font-weight: 400;\"> by the Institute for Essential Services Reform (IESR), an Indonesian policy think tank, that estimated 4 million to 6 million hectares (10 million to 15 million acres) of land will have to be converted into oil palm plantations to fulfill domestic and export demand for palm biofuel by 2024.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">That\u2019s in addition to the existing oil palm estate in Indonesia of more than 16 million hectares (40 million acres) \u2014 an area the size of Florida.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Indonesia is by far the world\u2019s biggest producer of palm oil, but even so faces a challenge ensuring supplies for its ambitious biofuel program. The mandatory increase to the B35 blend next month alone will push up annual demand for palm biofuel to 13.1 billion liters (3.5 billion gallons) from 10.6 billion liters (2.8 billion gallons) in 2021.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">And even if new plantations are established, there might not be enough suitable land to meet the increase.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">A 2021 study<\/span><span style=\"font-weight: 400;\">, by researchers in the U.K. and the Philippines, indicates there\u2019s less than 4 million hectares suitable for new sustainable oil palm plantations in Indonesia, but these are scattered fragments across the country, making them unsuitable for large-scale production.<\/span><\/p>\n<figure id=\"attachment_11201\" aria-describedby=\"caption-attachment-11201\" style=\"width: 401px\" class=\"wp-caption aligncenter\"><img decoding=\"async\" class=\" wp-image-11201\" src=\"https:\/\/tractionenergy.asia\/wp-content\/uploads\/2023\/07\/mongabay__2-300x201.jpeg\" alt=\"\" width=\"401\" height=\"269\" srcset=\"https:\/\/tractionenergy.asia\/wp-content\/uploads\/2023\/07\/mongabay__2-300x201.jpeg 300w, https:\/\/tractionenergy.asia\/wp-content\/uploads\/2023\/07\/mongabay__2-1024x684.jpeg 1024w, https:\/\/tractionenergy.asia\/wp-content\/uploads\/2023\/07\/mongabay__2-768x513.jpeg 768w, https:\/\/tractionenergy.asia\/wp-content\/uploads\/2023\/07\/mongabay__2.jpeg 1532w\" sizes=\"(max-width: 401px) 100vw, 401px\" \/><figcaption id=\"caption-attachment-11201\" class=\"wp-caption-text\">An oil palm plantation and natural forest in Jambi, Indonesia. Photo credit: Rhett A. Butler<\/figcaption><\/figure>\n<p><strong>Calls to diversify feedstock<\/strong><\/p>\n<p><span style=\"font-weight: 400;\">Besides the threat of deforestation, relying on palm oil as the sole feedstock for biodiesel poses national energy and security risks to Indonesia, according to Rafika Farah Maulia, a researcher at the University of Indonesia\u2019s Institute for Economic and Social Research.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">\u201cDon\u2019t put all your eggs in one basket,\u201d she said at the discussion in Jakarta. \u201cWhen all people use palm oil-based biodiesel, there will be risks that come, both in the present and in the future. That\u2019s why it\u2019s important to diversify [the feedstock] to transfer the risk.\u201d<\/span><\/p>\n<p><span style=\"font-weight: 400;\">One viable alternative that experts say should be considered is used cooking oil, which itself is made from palm oil. An analysis by Traction Energy Asia, an organization that advocates for a clean energy transition, <\/span><span style=\"font-weight: 400;\">shows<\/span><span style=\"font-weight: 400;\"> that biodiesel from waste fat and used cooking oil could meet 35% of the country\u2019s existing demand, as they\u2019re widely available and yet mostly go to waste.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">\u201cMaybe now the supply [of palm oil] is abundant, but we don\u2019t know the future,\u201d Rafika said. \u201cSo we need to look for feedstock of biofuel that comes from more sustainable sources, that doesn\u2019t compete with food, that has more stable prices and doesn\u2019t need new lands to be opened up.\u201d<\/span><\/p>\n<p><span style=\"font-weight: 400;\">The government says it\u2019s considering the use of other feedstocks, as the plan is to keep increasing the use of biofuel.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">\u201cIf the spirit is to increase the blending percentage, then we will need more supply of feedstock,\u201d Herbert Hasudungan, an official in charge of the biofuel program at the energy ministry, said at the Jakarta discussion. \u201cSo indeed, we have to be open [to the use of alternative feedstock.\u201d<\/span><\/p>\n<figure id=\"attachment_11205\" aria-describedby=\"caption-attachment-11205\" style=\"width: 422px\" class=\"wp-caption aligncenter\"><img decoding=\"async\" class=\" wp-image-11205\" src=\"https:\/\/tractionenergy.asia\/wp-content\/uploads\/2023\/07\/themongabay__3-1-300x201.jpeg\" alt=\"\" width=\"422\" height=\"283\" srcset=\"https:\/\/tractionenergy.asia\/wp-content\/uploads\/2023\/07\/themongabay__3-1-300x201.jpeg 300w, https:\/\/tractionenergy.asia\/wp-content\/uploads\/2023\/07\/themongabay__3-1-1024x687.jpeg 1024w, https:\/\/tractionenergy.asia\/wp-content\/uploads\/2023\/07\/themongabay__3-1-768x515.jpeg 768w, https:\/\/tractionenergy.asia\/wp-content\/uploads\/2023\/07\/themongabay__3-1.jpeg 1536w\" sizes=\"(max-width: 422px) 100vw, 422px\" \/><figcaption id=\"caption-attachment-11205\" class=\"wp-caption-text\">Deforestation for oil palm plantations by palm oil industries in Malaysian Borneo. Image by Rhett A. Butler\/Mongabay.<\/figcaption><\/figure>\n<p><strong>Boosting productivity, restricting exports<\/strong><\/p>\n<p><span style=\"font-weight: 400;\">Another solution is to boost the productivity of existing oil palm plantations to avoid having to clear land for new plantations, Anggalia said.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">At present, Indonesia produces 2.8 metric tons of palm oil per hectare of plantation, or about 1.25 short tons per acre.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">\u201cIn Malaysia, there\u2019s already a cap of 6.5 million hectares [16 million acres of oil palm plantations],\u201d Anggalia said. \u201cWith a cap, [Indonesia] will be encouraged to boost our productivity because there\u2019s no other option.\u201d<\/span><\/p>\n<p><span style=\"font-weight: 400;\">That avoids what she called \u201cthe easier and cheapest option,\u201d which is to open up new plantations by clearing forests. \u201cMaybe that\u2019s one of the reasons why [our palm oil productivity] is stagnant,\u201d Anggalia added.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">But a key hurdle to boosting productivity is the shortage of chemical fertilizers, exacerbated by the Russia-Ukraine war; Russia is the world\u2019s biggest fertilizer exporter.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">That\u2019s driven fertilizer prices in Indonesia to triple since early 2022, according to the Association of Indonesian Palm Oil Farmers (Apkasindo).<\/span><\/p>\n<p><span style=\"font-weight: 400;\">\u201cAs a result, 60% of farmers\u2019 plantations use no fertilizer at all, and this has caused a reduction in the productivity of farmers\u2019 plantations,\u201d Apkasindo chair Gulat Manurung said as quoted by local news outlet <\/span><span style=\"font-weight: 400;\">bisnis.com<\/span><span style=\"font-weight: 400;\">. \u201cDue to this, the national production of crude palm oil [CPO] will decrease by 5-11%.\u201d<\/span><\/p>\n<p><span style=\"font-weight: 400;\">To ensure the availability of palm oil for the domestic market, including for the biofuel program, the government has restricted CPO exports this year.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Normally, exporters are allowed to ship eight times their domestic sales volume, but as of the start of 2023, the ratio <\/span><span style=\"font-weight: 400;\">is reduced<\/span><span style=\"font-weight: 400;\"> to six times.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">The Indonesian Palm Oil Business Association (GAPKI) <\/span><span style=\"font-weight: 400;\">says<\/span><span style=\"font-weight: 400;\"> there are also concerns over cooking oil supply due to the biofuel program, and expects lower palm oil production in the first quarter of the year.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">This article already published at mongabay.com entitled: \u201c<\/span><span style=\"font-weight: 400;\"><a href=\"https:\/\/news.mongabay.com\/2023\/01\/indonesias-biofuel-push-must-go-beyond-palm-oil-to-reduce-risk-experts-say\/\">Indonesia\u2019s biofuel push must go beyond palm oil to reduce risk, experts say<\/a>\u201d<\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Indonesia faces deforestation, energy and security risks from its overreliance on palm oil as a feedstock for its biofuel transition program, observers say. The government will in February increase the biofuel blend in diesel to 35%, from the current 30%, with an eye on a 50:50 blend by 2025 \u2014 and eventually fossil-free biodiesel. But [&hellip;]<\/p>\n","protected":false},"author":7,"featured_media":13295,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"inline_featured_image":false,"footnotes":""},"categories":[105],"tags":[45,50,71,161,160],"class_list":["post-11198","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-media-coverage","tag-biodiesel","tag-biofuel","tag-cpo","tag-crude-palm-oil","tag-minyak-kelapa-sawit"],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.7 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>Indonesia\u2019s Biofuel Push Must Go Beyond Palm Oil to Reduce Risk, Experts Say &#8212; TRACTION ENERGY ASIA<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/tractionenergy.asia\/en\/indonesias-biofuel-push-must-go-beyond-palm-oil-to-reduce-risk-experts-say\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Indonesia\u2019s Biofuel Push Must Go Beyond Palm Oil to Reduce Risk, Experts Say &#8212; TRACTION ENERGY ASIA\" \/>\n<meta property=\"og:description\" content=\"Indonesia faces deforestation, energy and security risks from its overreliance on palm oil as a feedstock for its biofuel transition program, observers say. The government will in February increase the biofuel blend in diesel to 35%, from the current 30%, with an eye on a 50:50 blend by 2025 \u2014 and eventually fossil-free biodiesel. But [&hellip;]\" \/>\n<meta property=\"og:url\" content=\"https:\/\/tractionenergy.asia\/en\/indonesias-biofuel-push-must-go-beyond-palm-oil-to-reduce-risk-experts-say\/\" \/>\n<meta property=\"og:site_name\" content=\"TRACTION ENERGY ASIA\" \/>\n<meta property=\"article:publisher\" content=\"https:\/\/www.facebook.com\/tractionenergy.asia\" \/>\n<meta property=\"article:published_time\" content=\"2023-01-10T05:55:56+00:00\" \/>\n<meta property=\"article:modified_time\" content=\"2023-07-26T07:01:26+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/tractionenergy.asia\/wp-content\/uploads\/2025\/09\/featured-image.jpg\" \/>\n\t<meta property=\"og:image:width\" content=\"595\" \/>\n\t<meta property=\"og:image:height\" content=\"643\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/jpeg\" \/>\n<meta name=\"author\" content=\"Annisa Sekar Sari\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:creator\" content=\"@TractionEnergy\" \/>\n<meta name=\"twitter:site\" content=\"@TractionEnergy\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"Annisa Sekar Sari\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"6 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\\\/\\\/schema.org\",\"@graph\":[{\"@type\":\"Article\",\"@id\":\"https:\\\/\\\/tractionenergy.asia\\\/en\\\/indonesias-biofuel-push-must-go-beyond-palm-oil-to-reduce-risk-experts-say\\\/#article\",\"isPartOf\":{\"@id\":\"https:\\\/\\\/tractionenergy.asia\\\/en\\\/indonesias-biofuel-push-must-go-beyond-palm-oil-to-reduce-risk-experts-say\\\/\"},\"author\":{\"name\":\"Annisa Sekar Sari\",\"@id\":\"https:\\\/\\\/tractionenergy.asia\\\/#\\\/schema\\\/person\\\/2d091c3da5da7c074ad14c9cf1984478\"},\"headline\":\"Indonesia\u2019s Biofuel Push Must Go Beyond Palm Oil to Reduce Risk, Experts Say\",\"datePublished\":\"2023-01-10T05:55:56+00:00\",\"dateModified\":\"2023-07-26T07:01:26+00:00\",\"mainEntityOfPage\":{\"@id\":\"https:\\\/\\\/tractionenergy.asia\\\/en\\\/indonesias-biofuel-push-must-go-beyond-palm-oil-to-reduce-risk-experts-say\\\/\"},\"wordCount\":1133,\"publisher\":{\"@id\":\"https:\\\/\\\/tractionenergy.asia\\\/#organization\"},\"image\":{\"@id\":\"https:\\\/\\\/tractionenergy.asia\\\/en\\\/indonesias-biofuel-push-must-go-beyond-palm-oil-to-reduce-risk-experts-say\\\/#primaryimage\"},\"thumbnailUrl\":\"https:\\\/\\\/tractionenergy.asia\\\/wp-content\\\/uploads\\\/2025\\\/09\\\/featured-image.jpg\",\"keywords\":[\"Biodiesel\",\"Biofuel\",\"CPO\",\"crude palm oil\",\"minyak kelapa sawit\"],\"articleSection\":[\"Media Coverage\"],\"inLanguage\":\"en-US\"},{\"@type\":\"WebPage\",\"@id\":\"https:\\\/\\\/tractionenergy.asia\\\/en\\\/indonesias-biofuel-push-must-go-beyond-palm-oil-to-reduce-risk-experts-say\\\/\",\"url\":\"https:\\\/\\\/tractionenergy.asia\\\/en\\\/indonesias-biofuel-push-must-go-beyond-palm-oil-to-reduce-risk-experts-say\\\/\",\"name\":\"Indonesia\u2019s Biofuel Push Must Go Beyond Palm Oil to Reduce Risk, Experts Say &#8212; 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The government will in February increase the biofuel blend in diesel to 35%, from the current 30%, with an eye on a 50:50 blend by 2025 \u2014 and eventually fossil-free biodiesel. 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