VOI - Voice of Indonesia | RRI - Radio Republik Indonesia

 Jakarta.Coordinating Minister (Menko) for the Economy Airlangga Hartarto said Indonesia was the largest biodiesel producer in the world with production reaching 137 thousand barrels of oil per day, higher than the biodiesel production figures of the United States, Brazil and Germany.

"Indonesia is the largest biodiesel producer in the world with a capacity of 137 thousand barrels of oil per day. Meanwhile, the United States with 112 thousand barrels, Brazil with 99 thousand barrels, and Germany with 62 thousand barrels of oil per day," said the Coordinating Minister in an online discussion Dissecting the Urgency of the Energy Bill. New and Renewable in Jakarta, Monday.

This success has positioned Indonesia as a country to be reckoned with in the world biodiesel market.

Biodiesel is a biofuel consisting of a mixture of methyl ester compounds from long chain fatty acids which are used as an alternative fuel for diesel engines.

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Indonesia uses crude palm oil or CPO as the main raw material for biodiesel. Palm oil was chosen because its cultivators are well established considering Indonesia's position as the second largest producer of palm oil in the world.

Scientists mix 30 percent of palm oil into diesel oil, resulting in a product called B30 which is used to increase national energy security and independence, increase the added value of the palm oil industry, reduce consumption of imported fuel oil, and reduce greenhouse gas emissions.

"Within the framework of climate change, Indonesia is committed to reducing greenhouse gas emissions by 29 percent from business as usual and 41 percent with international assistance by 2030," said the Coordinating Minister for Airlangga.

Every year the biodiesel production rate continues to experience positive growth. The amount of biodiesel production in 2016 was recorded at 3 million kiloliters, then increased by 300 percent to 8.5 million kiloliters in 2020.

Meanwhile, President Director of the Palm Oil Plantation Fund Management Agency (BPDP-KS) Eddy Abdurrachman said that the increase in the market index price for palm oil from time to time has resulted in the price of biodiesel which tends to be more expensive than the price of diesel.

"The price of CPO is increasing, while CPO is the main fuel for biodiesel which causes the price of biodiesel to be relatively high compared to the price of diesel," said Eddy. (Antaranews)