Indonesia Ends Diesel Imports This Year on Biodiesel Success
Bogor. Indonesia has stopped importing low-grade diesel fuel since the start of this year, supported by the success of its 40% biodiesel blending program (B40), Energy and Mineral Resources Minister Bahlil Lahadalia said on Wednesday.
The biodiesel blend is set to increase to 50% (B50) starting July 1, which is expected to further boost the domestic supply of low-grade diesel, locally known as solar.
“Our diesel fuel demand in 2026 is around 40 million kiloliters. With the B40 program and soon B50, starting this year we no longer need to import diesel. This is the first time since the founding of the republic that we are no longer importing solar,” Bahlil said in a press statement.
The government is also working to reduce imports of liquefied petroleum gas (LPG) by exploring alternative fuels such as dimethyl ether (DME) and compressed natural gas (CNG), both currently under evaluation.
CNG has already been adopted by several industries, including hospitality and food services.
Strong Energy Resilience
Amid global geopolitical tensions that continue to disrupt energy supply chains, Bahlil said Indonesia has been ranked among the most energy-resilient countries by JPMorgan Asset Management.
According to the firm’s Eye on the Market report, which analyzed 52 of the world’s largest energy-consuming countries representing around 82% of global energy demand, Indonesia ranked second globally -- just behind South Africa and ahead of China.
Indonesia’s resilience is attributed to its substantial domestic oil and gas production, as well as large coal reserves that continue to meet domestic demand. The country’s vast renewable energy potential also supports its long-term energy independence.
Bahlil said Indonesia met its oil production target of 605,000 barrels per day in 2025, with the 2026 target raised slightly to 610,000 bpd.
In addition, recent exploration at the Ganal Block off East Kalimantan has revealed significant new resources, including an estimated 5 trillion cubic feet of gas and 300 million barrels of condensate.
The block is being developed by Eni and Sinopec, with production expected to begin in 2028.
The government said these developments strengthen Indonesia’s efforts to reduce reliance on imported fuels and enhance long-term energy security.
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