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Biodiesel produced from palm oil in Indonesia: Current status and opportunities
Silalahi F.T.R.a,b, Simatupang T.M.a, Siallagan M.P.a
a School of Business and Management, Bandung Institute of Technology, 40132, Indonesia
b Department of Engineering Management, Del Institute of Technology, 22381, Indonesia
[vc_row][vc_column][vc_row_inner][vc_column_inner][vc_separator css=”.vc_custom_1624529070653{padding-top: 30px !important;padding-bottom: 30px !important;}”][/vc_column_inner][/vc_row_inner][vc_row_inner layout=”boxed”][vc_column_inner width=”3/4″ css=”.vc_custom_1624695412187{border-right-width: 1px !important;border-right-color: #dddddd !important;border-right-style: solid !important;border-radius: 1px !important;}”][vc_empty_space][megatron_heading title=”Abstract” size=”size-sm” text_align=”text-left”][vc_column_text]© 2020 the Author(s).Biodiesel is one potential solution to the challenge of sustainable energy development, especially in the industrial and transportation sectors. Since 2006, Indonesia has issued regulations regarding the use of biofuel as a substitute for fossil fuels. In 2018, the Indonesian government approved regulations regarding the use of biodiesel as a substitute for fossil fuel across all economic sectors. However, there are only a few studies that are focusing on the current status, future potential, barriers and opportunities of biodiesel development in Indonesia. The research reported here reviews the history of governmental policy relating to biodiesel, while also analyzing the current status of this fuel and the opportunities for its exploitation in Indonesia. This study finds that Indonesia has been promoting biodiesel commercialization using national strategy by make government mandate and providing financial incentives. Biodiesel distribution mechanism and related actors in the Indonesian biodiesel supply chain have been described in this study. The study concludes that the recent Indonesian government mandate to mix 20% biodiesel with 80% fossil fuel (B20) produced a positive effect on the economic, social and environment. However, this policy still represents a work-in-progress which can be brought to the optimum conclusion, despite the numerous challenges ahead. One such challenge constituting the focus of this research relates to the respective delivery points of the biodiesel and fossil fuel industry distribution networks remaining problematic. This situation can influence the mode of transportation employed by the storage refinery resulting in variations of either transportation or investment costs. This research provides recommendations regarding current policy and future research relating to the successful implementation of the biodiesel mandate in Indonesia.[/vc_column_text][vc_empty_space][vc_separator css=”.vc_custom_1624528584150{padding-top: 25px !important;padding-bottom: 25px !important;}”][vc_empty_space][megatron_heading title=”Author keywords” size=”size-sm” text_align=”text-left”][vc_column_text][/vc_column_text][vc_empty_space][vc_separator css=”.vc_custom_1624528584150{padding-top: 25px !important;padding-bottom: 25px !important;}”][vc_empty_space][megatron_heading title=”Indexed keywords” size=”size-sm” text_align=”text-left”][vc_column_text]Biodiesel,Biofuel,Distribution,Indonesia strategies,Policy,Renewable energy[/vc_column_text][vc_empty_space][vc_separator css=”.vc_custom_1624528584150{padding-top: 25px !important;padding-bottom: 25px !important;}”][vc_empty_space][megatron_heading title=”Funding details” size=”size-sm” text_align=”text-left”][vc_column_text]This study was partly supported by a research grant from the Ministry of Research, Technology and Higher Education of the Republic of Indonesia.[/vc_column_text][vc_empty_space][vc_separator css=”.vc_custom_1624528584150{padding-top: 25px !important;padding-bottom: 25px !important;}”][vc_empty_space][megatron_heading title=”DOI” size=”size-sm” text_align=”text-left”][vc_column_text]https://doi.org/10.3934/energy.2020.1.81[/vc_column_text][/vc_column_inner][vc_column_inner width=”1/4″][vc_column_text]Widget Plumx[/vc_column_text][/vc_column_inner][/vc_row_inner][/vc_column][/vc_row][vc_row][vc_column][vc_separator css=”.vc_custom_1624528584150{padding-top: 25px !important;padding-bottom: 25px !important;}”][/vc_column][/vc_row]