Jakarta – Throughout 2025, the government noted that the implementation of B40 biodiesel was able to reduce emissions by tens of millions of tonnes of carbon while boosting the added value of crude palm oil (CPO) by tens of trillions of rupiah. According to the Ministry of Energy and Mineral Resources (MEMR), this mandatory policy not only strengthens efforts to reduce greenhouse gas emissions but also has a significant economic impact on the national palm oil sector.

On Thursday, 8 January, Minister of Energy and Mineral Resources Bahlil Lahadalia stated that the biodiesel programme, which uses a blend of 40 per cent palm-based biofuel and 60 per cent diesel, has become one of the main instruments for strengthening Indonesia’s energy security. One of the most noticeable impacts is the sharp decline in diesel imports compared to the previous year.

“If we compare, solar imports in 2024 will still be around 8 million tonnes. In 2025, that figure will be reduced to around 5 million tonnes,” said Bahlil during a press conference on the performance of the Ministry of Energy and Mineral Resources in 2025.

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