Indonesian state energy company PT Pertamina is set to commence bioethanol production from sugarcane and cassava this year, alongside its ongoing green hydrogen production using geothermal energy.
The move is aimed at reducing fuel imports, cutting carbon emissions, and promoting sustainability in the country.
Indonesia, a major consumer of palm oil biodiesel globally, has been actively pursuing bioethanol mandates for gasoline to further enhance its fuel efficiency and reduce carbon footprint. However, the availability of sufficient feedstock remains a significant challenge.
During a conference, Pertamina CEO Nicke Widyawati announced the upcoming launch of bioethanol products based on sugarcane and cassava, emphasizing the abundance of potential feedstock options. While palm oil is used for biodiesel, sugarcane and cassava will serve as the primary sources for ethanol production.
The implementation of biodiesel mandates in Indonesia has already resulted in substantial savings by reducing diesel import costs.
In 2023, Pertamina plans to initiate a hydrogen production trial at its geothermal plant in Ulubelu, located on Sumatra island. The facility aims to produce 100 kg (220 lb) of hydrogen per day.
Indonesia boasts significant geothermal potential, estimated at around 27 gigawatts (GW). However, less than 10% of this capacity is currently utilized for electricity generation. Pertamina has set ambitious goals to double or triple the geothermal capacity within the next five to seven years, not only for electricity but also for the production of green hydrogen. Widyawati confirmed that hydrogen production has already commenced.
During the conference, Widyawati also reiterated Pertamina’s previous denials of purchasing crude oil from Russia, a country facing Western sanctions. Despite ship-tracking data indicating Russian oil discharges in Indonesia, it is common for such shipments to be transferred to other vessels for delivery to different destinations.