In order to meet the rising demand for biodiesel following the Mandatory B30 effective this year, the country’s biodiesel industry is expected to increase its production capacity by 24.04 percent to reach 11.9 million kiloliters in 2020, a commodity prices data analysis and assessment firm said in its latest report.
PT Indeks Komoditas Indonesia (IKI), in its IKI Indonesian Palm Oil Report issued in February, said that the expanded capacity of four private biodiesel companies and the output of a new facility are scheduled to come on stream this year and add 2,308,046 kiloliters of biodiesel to bring the country’s total production capacity to 11,908,040 kiloliters.
Two other companies are expected to further add 1,048,850 kiloliters to the national output next year, bringing it to 12,956,896 kiloliters, the report said,
The largest capacity expansion is by PT Tunas Baru Lampung, at 629,310 kiloliters, to come on stream in November, followed by PT Pelita Agung Agriindustri in Dumai, Riau with 625,862 that is expected to enter the market in September.
Pt Batara Elok Semesta Terpadu in Gresik, East Java will contribute 478,161 kiloliters more starting in March and in the same month PT Dabi Biofuels in Dumai, will further add another 413,793 kiloliters. PT Anugerahinti Gemanusa will see 160,920 kiloliters from its new production facility in Gresik sometimes this year, the report added.
The IKI report said that in 2021, two companies — PT Kutai Refinery Indonesia and PT Citra Borneo Indonesia — respectively add 419,540 kiloliters and 625,869 kiloliters in 2021. Total biodiesel output for 2021 is expected to reach 12,956,896 kiloliters.