InfoSAWIT, JAKARTA – The Indonesian government has set the Market Index Price (HIP) for biodiesel at Rp14,262 per liter for April 2026, excluding transportation costs.
The decision was outlined in an official letter from the Directorate General of New, Renewable Energy and Energy Conservation (EBTKE), dated March 27, 2026.
The price is calculated based on the average crude palm oil (CPO) price and follows the national biodiesel mandate formula.
“The conversion factor from CPO to biodiesel is set at USD 85 per metric ton, resulting in a biodiesel price index of Rp14,262 per liter plus transport costs,” the statement noted.
The calculation uses the average CPO price of Rp14,958/kg during February 25–March 24, 2026, and an exchange rate of Rp16,877 per USD.
This policy, effective April 1, 2026, supports Indonesia’s biodiesel program and is expected to stabilize the industry while boosting domestic CPO absorption, including from smallholders. (T2)
