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Jakarta Post

Bright future for biodiesel in Indonesia

  • Bernd Waltermann and Henning Streubel

Jakarta   /   Mon, February 8 2010   /  10:35 am

As Indonesia is today the world’s largest producer of crude palm oil (CPO) — a desirable feedstock for biodiesel production — it has the potential to grow into a world biodiesel leader and a model for plantation sustainability.Biodiesel has the potential to become a significant industry sector in Indonesia, supported by two of its most valuable assets: its oil palm plantations, and more importantly, its people. Indonesia currently produces approximately 20 million tons of CPO per year from 7 million hectares of oil palm plantation, of which approximately 80 percent  is exported.  In terms of revenue, CPO exports provide Indonesia with its biggest non-petroleum source of export income, and this is expected to grow in the future.  Beyond revenue generation, oil palm plantations also currently provide a livelihood for more than three million Indonesian families.  T...