Jakarta: Indonesia is assessing crude palm oil (CPO) availability and biodiesel production capacity as it prepares to implement the B60 biodiesel mandate in 2027, Deputy Energy and Mineral Resources Minister Yuliot Tanjung said, Antara reported.
Speaking at the 12th IndoEBTKE ConEx 2026 in Jakarta on Wednesday, Tanjung said President Prabowo Subianto had announced the planned implementation of B60 next year during the launch of the B50 programme.
The government is reviewing upstream CPO supplies to determine whether additional oil-palm cultivation or measures to improve plantation productivity will be required to support the higher biodiesel blend, Tanjung said.
Indonesia will also need to expand its fatty acid methyl ester (FAME) production capacity, as FAME is the main biofuel component used in biodiesel blends. Increased FAME availability will be required to support B60 implementation across both public-service-obligation (PSO) and non-PSO fuel mandates.
However, technical specifications for B60 are still under assessment. Eniya Listiani Dewi, Director General for New, Renewable Energy and Energy Conservation at the ministry, said authorities were evaluating the appropriate FAME specifications for the higher blend.
Indonesia used the latest FAME formulation for B50, while the government is considering incorporating 10% hydrotreated vegetable oil (HVO) into the B60 blend.
Dewi said HVO currently costs around 1.5 to two times more than FAME, meaning the proposed combination remains at an early testing stage.
The Oil Palm Plantation Fund Management Agency (BPDPKS) has been asked to assess the FAME requirements for B60, with the study expected to be completed by December 2026.
Researchers involved in developing the technology will also need to determine the appropriate blending ratio for B60, Dewi said, noting that Indonesia is pioneering the technology.
The government has yet to announce the final technical composition of the B60 blend. The ongoing studies on CPO availability, FAME capacity and blending specifications are therefore expected to play a key role in determining whether Indonesia can proceed with the planned 2027 implementation.
