Biodiesel and its Potential

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Until now, Indonesia is still very dependent on fossil-based fuels as an energy source. Data obtained from the Ministry of Energy and Mineral Resources shows that with crude oil supplies in Indonesia, which are around 9 billion barrels, and with an average production rate of 500 million barrels per year, these supplies will run out in 18 years. To reduce dependence on petroleum and meet global environmental requirements, the only way is to develop environmentally friendly alternative fuels.

Indonesia has the potential for a large number of renewable energy sources. Some of them can be immediately applied in Indonesia, such as: bioethanol as a substitute for gasoline, biodiesel to replace diesel, geothermal power, micro hydro, solar power, wind power, and even waste / waste can be used to generate electricity.

The substitution of biodiesel for diesel has a considerable opportunity due to the higher demand for diesel fuel while the resources are running out day by day. Not only because of the opportunity to replace diesel fuel, is the great opportunity for biodiesel also due to Indonesia’s natural conditions. Indonesia has a variety of plants that can be used as a source of biodiesel fuel, such as palm oil and jatropha. On the other hand, there is also a large enough degraded land to be developed as an energy plantation.

Biodiesel also has similar qualities to petroleum-based biodiesel which can be used in diesel-engine vehicles without the need for modification, even if it does not reduce engine performance. In addition, the technology is mature enough and can be handled directly by Indonesian human resources. Biofuel development, including biodiesel, is an effort to reduce dependence on fossil energy. The answer to current energy problems lies in biofuels.

The Indonesian Biofuels Producers Association (APROBI) plans to increase its biodiesel production capacity by 3.4 million kiloliters in 2021. Business players will increase their production capacity by 3.4 million kiloliters next year. In fact, the plan to increase production capacity is postponed until 2021 and 2022 after adjustments to the covid-19 pandemic conditions.

The implementation of B30 is an effort to fulfill the government’s commitment to reduce greenhouse gas emissions by 26 percent from BAU (Business As Usual) in 2020 and reduce emissions by 29 percent by 2030. The contribution of B30 has a positive impact on reducing greenhouse gas emissions, this year it is projected that 26 million tons of CO2 equivalent, or 68 percent of the emission reduction target in the energy and transportation sector by 2020. As for the 2030 emission reduction target in the energy sector, the current biodiesel program has contributed 8.82 percent.

Blending biodiesel with diesel supports national energy security and independence. Diesel imports may continue to decrease compared to the years before the B30 starts.