10 October 2008

Biofuels – Targets through 2025

Anyone interested in what the Indonesian government is doing to diversify its energy needs, reduce dependence, and use of oil. Read away.

The government is positioning itself to make a concerted effort to see Indonesia move from its increasing dependence on oil as its primary energy source to a more diversified energy supply. This diversified energy supply is set to include biofuels. Biofuels include Biodiesel, Bioethanol, and Pure Biofuel.

The Minister of Energy and Mineral Resources Regulation, No. 32 of 2008, is the coming to fruition of an early draft on the same subject matter. Generally, the provisions of the original draft have been retained in the now enacted Regulation. The primary difference is that the Regulation includes an Attachment that sets out targets for Biodiesel, Bioethanol, and Pure Biofuel targets starting in January 2009 and running through January 2010, 2015, 2020, and 2025.

The targets are not fixed for 2015, 2020, and 2025. For these years the actual target will depend on global circumstances at those specific times. Nevertheless, the Regulation sets a target for 2025 of 20% for biodiesel, of 15% for bioethanol, and 10% for pure biofuel.

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