Indonesia, Malaysia commit to biodiesel mandates despite higher prices

Dateline 2022-03-24, Reuters:

Top palm oil producers Indonesia and Malaysia remain committed to their mandatory biodiesel programmes despite higher prices of the feedstock to reach green energy goals, senior officials said on Thursday.

Indonesia and Malaysia use palm oil as blending for biodiesel, with Indonesia since early 2020 using a mandatory B30 – a biodiesel containing 30% of palm-based fuel – the highest mandatory mix in the world, to slash imports of diesel fuel.

Indonesia’s palm-based fuel programme “will not stop at B30”, Coordinating Minister for Economic Affair Airlangga Hartarto, told a virtual industry conference.

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