In Indonesia, the automobile manufacturers association is concerned about the government’s move to boost biodiesel blending, saying that some models can run on as much as 20% biodiesel but others can’t handle higher blends. Last month the government approved B15 from the then-B10 with its eyes on B20 soon. One manufacturer told state-owned oil company […]
In Indonesia, crude palm oil production likely rose to its highest since September during the month of March at 2.397 million metric tons, up 17% from the 2.049 million tons produced in February. February typically has lower production due to the Lunar New Year holiday and fewer days in the month.
In Indonesia, palm oil prices jumped to a three-week high following the government’s move to levy $50 on every ton of palm oil and $30 for every ton of processed palm oil product exported, beginning in April. The funds are meant to pay for biodiesel subsidies recently approved to boost demand for palm oil-based biodiesel.
In Indonesia, the country’s new biodiesel blending mandate is expected to reduce diesel imports by 40%, with 63.104 million barrels of imports originally estimated for 2015. Now exports are likely to fall by about 25 million barrels. Power companies must blend biodiesel at 25% while remaining users must blend at 15%, up from the previous […]
In Indonesia, the government continues to roll out new policies in hopes of stimulating the local biodiesel industry, this time by lowering the price index for transforming CPO into biodiesel to $125 per metric ton, down from $188 per ton. The move is meant to make biodiesel cheaper and therefore encourage Pertamina to buy more.
In Indonesia, the government plans to levy $50 per metric ton on palm oil exports and $30 on olein shipments in order to pay for domestic blending subsidies. The levies will be in addition to export taxes that are currently set at zero but could be invoked again at between 7.5% and 22.5% when prices […]
In Indonesia, the government is again coming to the rescue of the palm oil industry by potentially introducing tax breaks for producers, allowing it to offset the budgetary requirements that would be needed by a new 15% biodiesel blend proposed last week, up from the current 10%. The 2015 budget won’t reach to covering the […]
In Indonesia, the country’s energy and minerals ministry has altered the pricing benchmark used in tenders to supply biodiesel to the state-owned oil company Pertamina to crude palm oil prices rather than diesel prices in an attempt to further boost biodiesel consumption. The new benchmark is in effect for tenders as of March 1.
In Indonesia, despite the government more than doubling the CPO biodiesel blending subsidy, low oil prices may keep the country from keeping its blending B10 mandate of 1.7 billion liters. About 1.5 million metric tons of CPO would be needed to reach the mandate, up from 800,000 tons in 2014, but some analysts fear that […]
In Indonesia, excitement over the 31 cents per liter subsidy for palm oil biodiesel has already begun to fade in the face of falling palm oil demand for products aside from biodiesel such as food and cosmetics. Palm oil futures jumped 10% on news of the subsidy but three weeks later are down nearly 5% […]