Today the company has a production capacity of 5 thousand tons of biofuel per day in the Wilmar factory in Gresik and Riau. "Capacity in Dumai, Riau 3 thousand tons and in Gresik 2 thousand tons," said Executive Director of PT Wilmar Nabati Indonesia Taufik Tamin.
The increased production capacity as a step seize opportunities of rising regulation that requires the use of biofuel for 2 percent of industrial consumption of fuel oil (BBM) in each industry. Government requires mineral mining industry and coal use Biofuel (BBN) no later than July 1, 2012.
The rule stated in the regulation of the Minister of Energy and Mineral Resources (ESDM) No 32 of 2008 on the Provision, Use and Administration of Commerce biofuel as alternative fuel mentioning, commercial license holders and direct users of fuel oil required to use biofuel or biodiesel gradually. This is to increase the use of other fuels in achieving national energy security and reduce fuel consumption.
According to Taufik, the discharge regulation, Wilmar Indonesia believes inevitably biodiesel sales will increase this year. "We've seen the potential, therefore we increase the production of 2 thousand tons per day," he said.
So far, the domestic biodiesel consumption is low or only about 35 percent of the total production of 1.6 million tons per year. As for the rest, or 65 percent of total production is for export.
"The government should support the downstream energy sector particularly environmentally friendly fuel. Due to that, Indonesia will be flooded with investments," he said.
Finance Minister Regulation (FMR) 128 in 2011 on the Determination of Goods Subject to Export Duty and Export Duty rates are supporting the development of downstream products. FMR were restructured tariff duties on exports of palm oil, palm oil and its derivatives is indeed aimed at supporting domestic downstream oil industry. (dto)
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