Indonesia testing efficiency of cars that run on cooking oil at high altitudes in drive towards greener vehicles
- Six minivans filled with 40 per cent palm-based biodiesel will travel across Java island to test the effectiveness of the fuel
- If successful, move could divert more palm oil toward biofuel and reduce exports, which may drive up global prices and increase cooking oil costs
Indonesia has been pushing to use a higher proportion of palm oil in biodiesel as a way to cut fossil-fuel imports, reduce emissions and absorb excess palm oil supply. The Southeast Asian nation currently requires vehicles to use a 30 per cent blend, known as the B30 mandate, and is trying to increase that to B40.
If successful, the move would divert more palm oil toward biofuel and reduce supply available for exports. This has the potential to drive up global prices and increase cooking oil costs. Earlier this year, palm oil futures soared to a record when Indonesia banned exports to curb domestic inflation, and then tumbled as stockpiles overflowed and forced it to change course.
Two formulas are used in the road tests. One is a blend of 30 per cent fatty acid methyl ester (Fame), 10 per cent hydrogenated vegetable oil (HVO) and 60 per cent gas oil. The other uses a mix of 40 per cent Fame and 60 per cent gas oil.
So far, the road tests show that fuel-use efficiency is similar overall to the B30 blend, said Dadan Kusdiana, director general of new and renewable energy at the Energy and Mineral Resources Ministry. They also showed that the engine can start about one second after ignition and that the blend can be used in higher areas with temperatures between 17-18 degrees celsius, Kusdiana said.
03:02
Indonesians face soaring cooking oil prices as war in Ukraine disrupts global trade
The ministry will submit recommendations for the B40 mandate after the tests are completed in December. The government will then decide whether and when the higher blend will be implemented, Kusdiana said. If implemented, the B40 mandate will add about 3.4 million to 3.5 million kilolitres of palm-based biodiesel to domestic consumption, he said. As of October, the country had consumed about 8 million kilolitres of biodiesel, out of an annual target of 11 million kilolitres, Kusdiana said.
