ESDM Regulation on Biofuel Regulates Biodiesel to Bioavtur

The Ministry of Energy and Mineral Resources ("MEMR") revealed that the drafting of the MEMR Ministerial Regulation (" Permen ") on the Business of Biofuel as a replacement for the MEMR Ministerial Regulation No. 32 2008 of on the Provision, Utilization and Trading of Biofuel as Other Fuel (" BBN "), which has been amended several times most recently by Permen No. 12 of 2015 (collectively " PermenESDM 32/2008 "), has adjusted the alignment with the Prabowo-Gibran Red and White Cabinet program.

Director General of New Renewable Energy and Energy Conservation (" EBTKE "), Eniya Listiani Dewi divulged that the regulation will contain provisions for each type of biofuel such as biodiesel, bioethanol, bio avtur and a number of other types of biofuel.

"Now we will look at PermenESDM 32/2008 again. There are also directions for bioethanol, bioavtur. So it will be completed soon," Eniya said when met at the Ministry of Energy and Mineral Resources Office.

Previously, Director of Bioenergy at the Directorate General of EBTKE, Edi Wibowo, explained that the new ESDM Ministerial Regulation would define biofuel as liquid fuel produced from vegetable materials, other organic materials, and/or organic waste. Meanwhile, the scope of the regulated biofuel is divided into two categories, namely oxygenates and non-oxygenates. In the oxygenate category, there are biodiesel and bioethanol while non-oxygenate consists of biohydrocarbon diesel, biohydrocarbon gasoline, bioavtur and other types of biofuel determined by the Minister of Energy and Mineral Resources.

In the draft, each type of biofuel is projected to come from 100 percent vegetable material. Edi hopes that the drafting of the regulation can be accelerated considering that the regulation is one of the 100-dayquick wins ofthe Ministry of Energy and Mineral Resources under the Red-White Cabinet.