Indonesia’s B50 Program Targets Aviation Fuel Production

RRI.CO.ID, Karawang - The Indonesian government has officially launched the Mandatory B50 Biodiesel Program to strengthen national energy security and reduce dependence on fuel imports.

The implementation of B50 is projected to halt diesel imports and create opportunities for downstream processing by converting surplus diesel into aviation fuel.

Energy and Mineral Resources Minister Bahlil Lahadalia said the mandatory program, supported by increased production capacity at the Balikpapan Refinery, will generate a diesel surplus of around 3–4 million kiloliters per year.

“The diesel surplus is estimated at 3–4 million kiloliters. In the next phase, we will encourage the development of the aviation fuel industry,” Minister Bahlil said after the launch at the KM 57 Rest Area on the Jakarta–Cikampek Toll Road, Karawang, West Java, on Thursday, July 9, 2026, as quoted by Antara.

He explained that aviation fuel (avtur) has characteristics similar to diesel and that the government, together with Pertamina, is preparing a roadmap to develop a national aviation fuel industry. Construction of an aviation fuel plant is targeted to begin by the end of 2026.

“God willing, pray that by the end of 2026 we can begin construction of our aviation fuel factory,” he said.

Minister Bahlil added that additional production from the Balikpapan Refinery, reaching 5.6 million kiloliters, strengthens the potential for a diesel surplus under the B50 program.

Beyond halting diesel imports, the government also aims to produce gasoline domestically with octane ratings of RON 92, RON 95, and even RON 98. This step is expected to reduce reliance on imports and reinforce energy sovereignty.

“So there will be no more speculation about imports. We want everything to be domestic,” he said.

President Prabowo Subianto inaugurated the Mandatory B50 Biodiesel Program at the KM 57 Rest Area on Thursday, July 9, 2026. On that occasion, Minister Bahlil announced that Indonesia no longer imports diesel fuel thanks to the biodiesel program and expanded refinery capacity.

He emphasized that the launch of B50 marks a major milestone in Indonesia’s pursuit of energy independence and sovereignty through optimal use of domestic resources. ***