Tuesday, July 22, 2008
Industries Must Use 5 Pct Biodiesel in 2010
Source: Antara News

Jakarta - The government would require industries and other commercial establishments to use a minimum of five percent of biodiesel for its fuel oil starting from January 2010.

A spokesperson of the National Team for Biofuel Development, Evita Herawati Legowo said here, Monday, the decision would be a follow up on the required minimum of 2.5 percent of biodiesel ratio in industries that would take effect in September 2008.

"From September 2008 to December 2009, industries must use 2.5 percent biodiesel, but in January 2010 it should be increased to a minimum of five percent," Evita said.

A ministerial decree on biodiesel policy would be issued soon.

"The decree would also include a sanction against its violation," she added.

Under the ministerial decree, she said, industries and commercial establishments would have to use a minimum of 10 percent of biodiesel in January 2015, 15 percent in January 2020, and 20 percent in 2025.

The transportation industry which currently enjoyed subsidized fuel oil, has to use a minimum of one percent of biodiesel from September 2008 to December 2009, 2.5 percent in January 2010, five percent in 2015, 10 percent in 2020, and 20 percent in 2025.

While the biodiesel ratio for transportation means which used non-subsidized fuel oil would be one percent in January 2009, three percent in 2010, seven percent in 2015, 10 percent in 2020 and 20 percent in 2025.

The biodiesel ratio for power plants would be 0.1 percent from September to December 2008, 0.25 percent in January 2009, one percent in 2010, 10 percent in 2015, 15 percent in 2020, and 20 percent in 2025.

Evita said, the decree would also regulate the minimum use of bioethanol.

For the transportation sector which enjoys subsidized fuel oil, the bioethanol ratio would be three percent in September to December 2008, one percent in 2009, three percent in 2010, five percent in 2015, 10 percent in 2020, and 15 percent in 2025.

The ratio for non subsidized transpor-tation would be five percent from September to December 2009, seven percent in 2010, 10 percent in 2015, 12 percent in 2020 and 15 percent in 2025.

While for industries and commercial enterprises, the bioethanol ratio would be five percent in 2009, seven percent in 2010, 10 percent in 2015, 12 percent in 2020 and 15 percent in 2025.

Evita said, the price of bioethanol ranged between Rp6,000 to Rp7,000 per liter while biodiesel Rp10,000 to Rp11,000 per liter.