UCO not ready for prime time in Indonesia due to economics and cartels

March 15, 2016 |

In Indonesia, using UCO as a feedstock for biodiesel would only account for about 5% of the country’s diesel demand, compared to the 30% blending mandate, but it would help reduce pressure on forests to expand CPO production. But the fuel isn’t economically competitive against subsidized diesel and there are few UCO biodiesel producers as a result. Supplies of UCO are limited, however, due to cartels blending with new cooking oil and then rebranding the oil for sale to consumers for cooking.

Category: Fuels

Thank you for visting the Digest.