“Yesterday (10/4), Lion Air signed a memorandum of understanding with GAPKI to develop bioavtur, palm oil-based fuel,” GAPKI Deputy Chairman Kacuk Sumartono said during the Second International Conference and Expo on Indonesian Sustainable Palm Oil (ISPO).
Sumartono did not elaborate further but a report uploaded on the official GAPKI website said that the partnership will cover research, development, and trials of its commodity.
“Through this partnership, we hope that palm oil potential as a renewable, eco-friendly fuel can be optimized,” said GAPKI Advisory Board member Franky Oesman Widjaja.
Widjaja added that the use of the bioavtur reduces carbon emission, encourages the growth of the downstream palm oil industry and boosts palm oil domestic consumption.
Indonesian government targets for aviation biofuels to reach 3% by 2018 and increase to 5% in 2025.