Indonesia’s palm-based biodiesel consumption crosses 3.9 million kiloliters as B50 transition nears

Indonesia consumed 3.9 million kiloliters of palm-based biodiesel in the period from January 1 to April 13, 2026, under its mandatory biodiesel blending programme, even as the country prepared to raise its blending requirement further, Hydrocarbon Processing reported.

An energy ministry official confirmed the consumption figure, which comes against an annual allocation of 15.65 million kiloliters for 2026 set under the existing B40 mandate — a framework requiring that 40 per cent of diesel fuel consist of palm oil-based biodiesel, with the remainder made up of conventional diesel.

Starting July 1, Indonesia will raise the mandatory blend ratio from 40 per cent to 50 per cent, taking the programme to what is known as B50. Under the new requirement, half of all diesel consumed in the country will need to come from palm oil-based biodiesel sources, with conventional diesel accounting for the remaining half.

The move to B50 represents the latest step in Indonesia’s long-running push to reduce dependence on imported fossil diesel and expand domestic use of its palm oil output. The country is the world’s largest producer of palm oil, and its biodiesel blending programme has been progressively scaled up over several years — from B35 to B40 earlier in 2026, and now towards B50 in the second half of the year.