Government's Efforts to Ensure the 10 Percent Ethanol Policy Runs Smoothly

KatadataOTO – The plan to implement 10 percent ethanol (E10) in fuel oil (BBM) is continuously being developed. The government will also undertake a number of efforts.

For example, preparing one million hectares of land. This land will later be used to plant cassava.

This will support the mandatory 10 percent ethanol blend in fuel in the country.

"The one million hectares of land is an order from the President," said Andi Amran Sulaiman, Minister of Agriculture, as quoted by Antara on Wednesday (22/10).

Photo : Pertamina

The minister, serving President Prabowo Subianto, explained that the plan to plant cassava will be carried out throughout Indonesia 

However, according to Amran, he cannot yet disclose the location of the land. This is because it requires coordination with the Minister of Agrarian Affairs and Spatial Planning/Head of the National Land Agency 

The government is also still waiting for reports on which areas are most suitable for planting cassava.

"Throughout Indonesia, wherever the agro-climate is suitable," Amran affirmed.

It should be noted that ethanol fuel is not only made from cassava. It can also use corn or sugarcane 

On the other hand, President Prabowo is said to have approved the 10 percent ethanol mandate. This is to make fuel in Indonesia more environmentally friendly.

Additionally, it can reduce dependence on imported fuel. Thus, it can save on the state budget.

Not Yet Ready

Indeed, the implementation of 10 percent ethanol still faces several challenges that need to be addressed by stakeholders. 

For instance, ethanol production must be carried out to significantly reduce the amount of imports. Then, it must empower various domestic sectors such as agriculture.

“If ethanol is produced domestically, it will certainly have a (positive) impact, but I haven't calculated it yet,” said Ronny Purwadi, an academic from the Faculty of Industrial Technology at the Bandung Institute of Technology (ITB) in Jakarta on a separate occasion.

Photo : Antara

However, looking at the current conditions, he assesses that the industry is not yet ready for the production of ethanol blends in Indonesia. 

Especially if President Prabowo and the ministers want ethanol production to be realized starting next year.

If the use of gasoline with an ethanol blend is to be promoted starting in 2026, the government must first prepare the supporting ecosystem and its production plan.