InfoSAWIT, JAKARTA – The government has confirmed that Indonesia no longer imports diesel fuel, marking a major milestone driven by the country’s ongoing palm oil downstreaming program.
According to an official statement cited by InfoSAWIT on Tuesday (March 31, 2026), Coordinating Minister for Food Affairs and Chairman of PAN, Zulkifli Hasan, said the achievement is closely linked to the successful implementation of the biodiesel mandatory program.
“We no longer import diesel. We have reached B40 and even B50 levels, so diesel imports are no longer needed. While there may be concerns over gasoline price increases, for diesel we are already self-sufficient,” said Zulkifli, widely known as Zulhas, during the opening of the 2026 PAN National Working Meeting at the party’s headquarters.
He emphasized that palm oil downstreaming policies have played a crucial role in strengthening national energy security, particularly through increased utilization of palm-based biodiesel.
To sustain the program, the government plans to expand oil palm plantation areas by up to 2 million hectares in the near future. This expansion aims to ensure a stable supply of feedstock amid rising domestic energy demand.
In addition to palm oil, the government is also preparing to develop sugarcane as an alternative energy source. A plan to establish 1 million hectares of sugarcane plantations in Papua, particularly in Merauke, is expected to support ethanol production as a gasoline blend.
“In the future, gasoline will be mixed with ethanol once sugarcane development in Papua, especially in Merauke, is fully realized. This will be very beneficial,” Zulhas explained.
He further stressed that these initiatives are part of a broader national strategy to achieve food and energy self-sufficiency, in line with directives from President Prabowo Subianto.
“The President has instructed that we must achieve independence in food and energy, including through downstreaming,” he affirmed.
This policy underscores the strategic role of the palm oil industry, not only as an export commodity but also as a backbone of Indonesia’s energy transition toward self-reliance and reduced dependence on fossil fuel imports. (T2)
