Implementation of B40 and B50 Programs Expected to Reduce Fuel Imports

 Deputy Minister of Energy and Mineral Resources (ESDM) Yuliot asked PT Pertamina (Persero) to increase national oil production to reduce dependence on imported fuel oil (BBM). This effort is in line with the direction of Indonesian President Prabowo Subianto in the Asta Cita program to realize energy self-sufficiency. One of the steps that is expected to support the reduction of imports is the implementation of biofuels through the B40 program.

"National energy security is very important to achieve. This concerns the condition of ensuring the availability of energy that can be accessed by the public at affordable prices, long-term, and still paying attention to environmental protection," said Yuliot when opening the Pertamina Portfolio Forum 2024 at Graha Pertamina, Jakarta, Wednesday (4/12).

Yuliot highlighted that national oil production is currently still far behind the level of consumption. In 1997, Indonesia was an oil exporter because production exceeded domestic needs. However, this condition has changed drastically.

"Currently, domestic oil production is only around 600,000 barrels per day, while consumption levels are more than 1.5 million barrels per day. As a result, we have to meet these needs through imports," said Yuliot.

To reduce dependence on imports, the government is encouraging an increase in national oil and gas production, including contributions from Pertamina. Currently, Pertamina contributes 60 percent of total national oil production, or around 400,000 barrels per day.

"The government is targeting an increase in national oil production to 700,000 barrels per day in 2025-2026. With Pertamina's contribution projected to remain at 60 percent, Pertamina's production target is expected to reach 480,000 barrels per day, an increase of around 20 percent from current production," explained Yuliot.

In addition, the implementation of the B40 and B50 programs that utilize biofuels is also expected to have a significant impact on reducing fuel imports.

Yuliot emphasized the importance of synergy between the government, business entities, and state-owned enterprises such as Pertamina to achieve the national energy security target. "The Ministry of Energy and Mineral Resources and Pertamina have a big responsibility to maintain national energy security. This requires strong collaboration so that the President's direction to realize energy self-sufficiency can be realized," he said.

This step is part of the government's long-term strategy to create a more independent, efficient, and sustainable energy system, while reducing dependence on fossil fuel imports.

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