Ethanol
The Indonesian government has given a mandatory 10% ethanol blend (E10) starting in 2027. This is a policy that has been implemented in many countries such as India (E20), Thailand (E10,E20,E85), The Phillipines (E10,E20), China (E10), USA (E10,E15) and Brazil (E18,E27.5).
Biofuels are a realistic transitional energy because unlike full electrification that requires expensive grid upgrades and charging infrastructure, biofuels use the existing fuel infrastructure. This is a more practical approach especially for rural areas of the country as we transition towards electrification.
The annual consumption of gasoline in Indonesia is roughly 38million KL/year. A E10 blend would require 3,8million KL of ethanol per year. And roughly 48 metric tons of sugarcane which is a 24 times increase of the annual sugar cane production in indonesia in 2025.
Our Manufacturing facility in Lawang, East Java has a annual ethanol production capacity of 80,000 KL (kiloliters) which is made from distilled Sugar Cane Molasses (Tetes Tebu).
We fully support Indonesia’s transition to a bio fuel energy source that is domestic, reduces the import bill, creates manufacturing jobs, provides income for farming communities and is a cleaner transitional fuel compared to pure fossil fuels.