Add 'Indonesia Plans Increase in Palm Oil-based Biodiesel In 2025'

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Gertie Worley 10 months ago
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      Indonesia-Plans-Increase-in-Palm-Oil-based-Biodiesel-In-2025.md

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<br>JAKARTA, July 24 (Reuters) - Indonesia, the world's greatest palm oil manufacturer, is [checking](https://www.zoominfo.com/c/mission-newenergy/346542889) fuel with a view to increasing to 40% from 35% the share of [palm-oil combined](https://www.energy-xprt.com/companies/mission-newenergy-limited-36048) into biodiesel next year, the energy ministry stated.<br>
<br>If implemented, the B40 required might increase [biodiesel](https://www.crunchbase.com/organization/mission-newenergy) [consumption](https://www.bloomberg.com/profile/company/MNELF:US) to as much as 16 million kilolitres (KL) next year, the [ministry](https://www.zonebourse.com/cours/action/MISSION-NEWENERGY-LIMITED-8557641/) stated, from 13 million KL approximated to be [consumed](https://pitchbook.com/profiles/company/51278-86) in 2024.<br>
<br>"We hope the trials might be ended up in December, so that full implementation of B40 might be performed in 2025," energy ministry senior official Eniya Listiani Dewi said in a statement on Tuesday.<br>
<br>The Indonesian [Biofuel](https://www.energy-xprt.com/companies/mission-newenergy-limited-36048) Producers Association (APROBI) said the market had the [capacity](https://www.nasdaq.com/market-activity/ipos/overview?dealId=804419-65608) to meet B40 demand, with installed capability [anticipated](https://www.sec.gov/Archives/edgar/data/1463471/000165495419013063/R31.htm) to rise to 20 million KL each year next year from 18 million KL now.<br>
<br>"However we will need more raw products to meet B40 demand," Ernest Gunawan, the secretary general of [APROBI informed](https://www.zonebourse.com/cours/action/MISSION-NEWENERGY-LIMITED-8557641/) Reuters on Wednesday.<br>
<br>The biodiesel market would require 13.9 million metric tons of [crude palm](https://forest500.org/rankings/companies/mission-newenergy-limited) oil to produce 16 million KL biodiesel next year, from the approximated 11 million heaps required this year, he included.<br>
<br>Indonesia's greatest [palm oil](https://www.businessnews.com.au/Company/Mission-NewEnergy) association GAPKI stated a decline in exports implied there would be adequate raw products to provide the B40 required in the meantime.<br>
<br>But the industry would require to evaluate "which one would be better", GAPKI chairman Eddy Martono stated, describing the a boost in exports would make [supplying](https://www.sec.gov/Archives/edgar/data/1463471/000165495419013063/R31.htm) the [domestic market](https://pitchbook.com/profiles/company/51278-86) less viable.<br>
<br>Indonesia's palm oil output is approximated to reach 54.4 million heaps in 2024, a 2.26% increase from in 2015, while [exports](https://www.google.com/search?kgmid=/m/0cqd_rb) are anticipated to decline by 2.47% to 29.5 million loads as domestic intake increased, driven by biodiesel mandate.<br>
<br>The ministry had actually evaluated the biodiesel, [blended](https://www.investing.com/equities/mission-newenergy-ltd-company-profile) with 40% of palm oil, on a train for the very first time previously this week, while [planning](https://www.proactiveinvestors.com.au/ASX:MBT/Mission-NewEnergy-Ltd) to check the B40 mix on agriculture equipment, [power plants](https://www.proactiveinvestors.co.uk/companies/news/159346/mission-newenergy-delivers-maiden-biodiesel-production-to-global-oil-major-24476.html) and in the shipping market, it stated. (Reporting by Bernadette Christina and Dewi Kurniawati
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