Indonesia’s Ministry of Energy and Mineral Resources (ESDM) is targeting the implementation of B60 biodiesel in 2027, following the rollout of B50 in 2026.
Deputy Energy and Mineral Resources Minister Yuliot Tanjung said the planned increase in the biodiesel blending mandate forms part of the government’s strategy to strengthen national energy sovereignty.
“This year we have already implemented B50, and when it was launched, President Prabowo Subianto stated that next year we will begin implementing B60,” Yuliot said during the Indonesia EBTKE Conference & Exhibition 2026 in Jakarta on 2 September.
B60 refers to diesel fuel containing a 60% biofuel component and 40% conventional diesel. Indonesia’s biodiesel programme currently relies primarily on fatty acid methyl ester (FAME), which is produced from palm oil and blended with fossil diesel for use in transportation and industry.
According to Yuliot, implementation of B60 will require sufficient supplies of crude palm oil (CPO), either through additional cultivation or improvements in upstream productivity. The government will also need to ensure adequate FAME production capacity, as B60 is expected to apply to both subsidised and non-subsidised diesel.
ESDM is also assessing the technical specifications for the higher blend.
Director General of New, Renewable Energy and Energy Conservation Eniya Listiani Dewi said the government is considering whether the renewable component of B60 should rely entirely on FAME or incorporate Hydrotreated Vegetable Oil (HVO).
HVO is a renewable diesel produced from vegetable oils or animal fats through a hydrogenation process.
The Indonesian Oil Palm Plantation Fund Management Agency (BPDPKS) has been asked to conduct a study on the proposed B60 programme, with the assessment expected to be completed in December 2026. The results will be used to determine the next steps for implementation.
B50 distribution reaches 80%
The planned move towards B60 comes as the government continues to evaluate the implementation of B50, which began on 9 July 2026.
According to Eniya, overall B50 distribution through Pertamina and private fuel companies had reached approximately 80% by the end of August. Distribution through Pertamina alone was close to 90%.
The government established a three-month transition period following the start of B50 implementation and continues to monitor distribution and technical readiness during the transition.
ESDM said B50 distribution has also reached Indonesia’s outer regions, including eastern parts of the country.
