Indonesia Pushes for Increased Biodiesel Use

Indonesia's biodiesel consumption is seen soaring to 7.9 million kilolitres next year, according to an industry body, adding that increased demand is crucial for the country to meet its goals on cutting greenhouse gas emissions.

Indonesia, the world's top palm oil producer, is pushing greater biodiesel use to reduce its oil import and create more demand for the tropical oil. Paulus Tjakrawan, chairman at the Indonesian Biofuel Producers Association, also said the government may look to bring forward its 30 percent blend requirement. Indonesia missed last year's biodiesel targets due to logistical and infrastructure problems, coupled with a failure to enforce its mandate.

Indonesia promised to curb its rising greenhouse gas emissions by 2030 as it is under international pressure to limit the destruction of carbon-rich peatlands and forests which cause choking smoke to spread across much of Southeast Asia.