Indonesia far from reaching its B20 goals

In Indonesia, only 50,000 kiloliters of biodiesel were blended with non-subsidized fossil diesel during the first half of 2016 despite a blending mandate that required more than 650,000 kiloliters to be blended for B20. For subsidized diesel, blending is only expected to reach 3.2 million kiloliters during the entire calendar year despite a target of 4.5 million kiloliters. The discrepancy is a result of lack of implementation and lack of incentives. In June alone, the subsidy paid to Pertamina is around 40 cents per liter to compensate for the difference between low fossil diesel prices and much higher biodiesel prices.