National Biodiesel Distribution 2.17 Million KL in Q-1 2020

MINISTRY OF ENERGY AND MINERAL RESOURCES

REPUBLIC OF INDONESIA

PRESS RELEASE

NUMBER: 164.Pers/04/SJI/2020

Date: 23 April 2020

National Biodiesel Distribution 2.17 Million KL in Q-1 2020

Covid-19 spread has started to affect the development of New, Renewable Energy (NRE), as clearly seen from the use of biodiesel throughout 1st quarter of 2020. The Ministry of EMR records the realization of biodiesel distribution in the period reached 2.17 million kilo liter (KL) or 90.4% of the purchase order (PO) at 2.4 million KL.

Director of Energy Conservation of Ministry of EMR, Hariyanto, informed this on the sidelines of a virtual discussion titled "The Impacts of the Covid-19 Pandemic on the Electricity and Renewable Energy Subsector" initiated by Institute for Essential Services Reform (IESR) on Tuesday (21/4).

"The pandemic has impacted the use of biodiesel, because as I said earlier, NRE development is not limited to electricity only but also concerns with non-electricity programs, biodiesel (use) among others," said Hariyanto.

Hariyanto said the decreasing demand for B30 (a blend of 30% biodiesel and Solar diesel) was the main cause for the target of biodiesel realization to fall flat. "The decreasing demand for B30 has directly reduced biodiesel use," he said.

In January, continued Hariyanto, biodiesel distribution volume was 699.5 thousand KL or 87.53% of PO 789.64 thousand KL. In February, realization grew to 756.96 thousand KL or 94.72% of PO 799.3 thousand KL.

Meanwhile in March, biodiesel use once again dropped, to 713.86 thousand KL or 89.32% of PO 809.95 thousand KL.

Biodiesel consumption has been on the increase since 2017. In 2018, consumption reached 3.55 million KL, or rising by 49% compared to that of 2017 at 2.37 million KL. Expansion of B20 incentive to Non-Public Service Obligation (PSO) had been the background for the increase.

The policy continued to 2019, increasing biodiesel consumption to 6.37 million KL. This volume did not include the additional volume for B30 trial at the end of 2019. (IY)

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Agung Pribadi (08112213555)

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