Indonesia advances energy independence via B50 mandate and sustainable aviation fuel

Indonesia is advancing its energy transition through the development of renewable fuels and increased biodiesel mandates. PT Pertamina Patra Niaga Refinery Unit Cilacap is testing the production of Sustainable Aviation Fuel (SAF) using used cooking oil as an alternative raw material. This initiative follows successful trials involving co-processing renewable materials with conventional fuels and flight tests conducted with CN235 and Boeing 737-80 aircraft.

On a national scale, the government is implementing the B50 program, which mandates a fuel mixture of 50 percent biodiesel—derived from sources such as palm oil—and 50 percent diesel. This policy follows the B40 mandate introduced in early 2025. The Ministry of Energy and Mineral Resources projects that the B50 implementation will eliminate diesel imports by 2026 and could save the country approximately Rp170 trillion in foreign exchange reserves this year.