Utilization of palm oil based biofuel to support sustainable energy transition in Indonesia

Abstract

Abstract Palm oil is a component that can be a mainstay to support the need for sustainable energy transition. In order to implement and achieve sustainable development, palm oil-based biofuel is being developed. In addition, the government has begun to develop a mandatory biodiesel program, so that an adequate supply of biofuel from palm oil is required. This research refers to the utilization of crude palm oil to produce biofuel supplies as a way of implementing and achieving sustainable development. This paper is based on bibliographical research and document studies. Palm oil can bring considerable opportunities for the benefit of the people and achieve government goals. However, this must be accompanied by good management, especially palm oil as a commodity that has a fairly complex upstream-downstream flow, followed by quite heavy problems and obstacles. The mandatory implementation of biodiesel is still constrained by various technical problems, namely infrastructure, quality, logistics, demand, and incentives. Implementation of biodiesel mandatory program policy also has an impact on the economic and environmental side. Biodiesel production can grow consistently with strategic policies across stakeholders.