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Indonesia accelerates bioenergy shift with Toyota’s bioethanol investment, B50 trials set to begin

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Toyota plans to develop bioethanol production in Indonesia. (Photo: iStock)

Indonesia’s bioenergy sector is seeing a string of positive developments. Japanese automaker Toyota plans to partner with state-owned oil and gas company Pertamina to jointly develop bioethanol in Indonesia, with investment expected to reach up to IDR 2.5 trillion (about 149.5 million USD).

Meanwhile, Indonesia’s B50 biodiesel program is slated to begin road testing in early December, with future rollout expected to prioritize public service sectors.

Toyota to develop bioenergy in Indonesia

Todotua Pasaribu, Indonesia’s Deputy Minister for Investment and Downstream Industries and Vice Chairman of the Investment Coordinating Board (BKPM), recently visited Japan to meet with senior Toyota executives and discuss potential investment. He confirmed that both sides intend to establish a joint venture in 2026 and build a bioethanol production facility in Lampung Province.

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