President Prabowo Launches Mandatory Biodiesel B50 Program, Heralding Energy Independence

President Prabowo Subianto officially launched Indonesia's mandatory Biodiesel B50 program on Thursday, July 9, 2026, at a rest area in Karawang, West Java. This move signifies a historic step toward bolstering national energy self-sufficiency and simultaneously curbing greenhouse gas emissions. The President expressed pride in this achievement, emphasizing that it is time for Indonesia to pursue innovation and achieve greater independence.

Following progress in food security, Indonesia is now advancing towards energy independence. The Biodiesel B50 program mandates the blending of 50% biodiesel with standard diesel fuel. This policy is a cornerstone of the government's strategic agenda to reduce dependence on fuel imports, enhance the value of national natural resources, and ensure economic and energy resilience. The government views the B50 implementation not merely as an increased biodiesel blend but as a significant stride toward national energy independence, resilience, and sovereignty.

The program is legally grounded in Ministerial Regulation No. 4 of 2025 concerning the Business and Utilization of Biofuels and Ministerial Decree No. 257.K/EK.01/MEM.E/2026, which mandates the 50% biodiesel blend. All biofuel businesses, fuel businesses, and distribution entities are required to adhere to the specified quality standards. Non-compliance with blending obligations or distribution targets can result in administrative sanctions, ranging from written warnings and temporary operational suspension to the revocation of business permits.

To facilitate the transition, businesses have until September 30, 2026, to deplete their existing stocks of B40 biodiesel. The Ministry of Energy and Mineral Resources will conduct quarterly evaluations of the B50 implementation. The government asserts that the transition to B50 has been meticulously prepared across technical, supply, distribution, and regulatory aspects. Extensive testing has been conducted on diesel engines across six sectors: automotive, agricultural machinery, mining heavy equipment, sea transportation, power generation, and railways. While some tests are ongoing, initial results indicate that B50 is safe for use and performs compatibly in various diesel engine applications.