Indonesia sets biodiesel consumption target at 4 million kl. for this year
Source: Xinhua
Time: 2014-Jan-15 16:34

JAKARTA, Jan. 13 (Xinhua) -- A senior official at the Energy and Mineral Resources Ministry (ESDM) said Monday that the ministry has set a target on national biodiesel fuel consumption for this year at 4 million kiloliters, or nearly four times last year's 1.07 million kiloliters, adding that the target could save some 5 billion U.S. dollars in foreign exchange spending.


The target was significantly higher than the 669,000 kiloliters the country actually used in 2012.


Indonesia has stipulated that biodiesel consumption should take a minimum share of 10 percent in this year's national fuel mix.


"The four million kiloliter target would be generated from the 10 percent mandatory target plus at least 20 percent from state power firm's (PLN) fuel mix usage. PLN had already pledged to use biodiesel up to 26 percent of total fuels to run its power plants, " Dadan Kusdiana, director of bio-energy and new renewable energy directorate general at the ministry, said in a statement.


He expected that the transportation sector would contribute 1. 67 million kiloliters to this year's target, with the remaining coming from PLN's operation.


"All biodiesel producers in the country have pledged their readiness to comply with the target. The retail price would be decided and announced later by government," he said.


According to Dadan, as of September last year, the country saved some 270 million U.S. dollars in foreign exchange spending and 3 million dollars in subsidies due to the usage of biodiesel in a four-month period.

Editor:Xu Rui
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