The government is expected to expand the use of 20 percent blended biodiesel ( B20 ) during the opening of the Association of Indonesian Automotive Manufacturers (Gaikindo) Indonesia International Auto Show (GIIAS) on Aug. 2.

“It was agreed at a high-level meeting with the President last week that all sectors will be required to use B20 biofuel,” Industry Minister Airlangga Hartarto told the press after a meeting with Coordinating Economic Minister Darmin Nasution on Monday.

Airlangga said the use of B20 fuel would save around US$5.6 billion, annually.

Gaikindo chairman Yohannes Nangoi added that the association was looking into the emission quality of B20 fuel, which had to comply with Euro 2 standards.

He added that the B20 test on trucks had not shown any significant negative impacts on vehicle engines.

Since being introduced in early 2016, the government has struggled to expand the use of B20 fuel, as only vehicles that used subsided Solar-branded diesel fuel were required to use it. The fuel is sold by state-owned energy company Pertamina and local fuel distributor PT AKR Corporindo.

In recent months, the government has intensified its efforts to have all vehicles in the transportation sector use B20 fuel. An official requirement will be issued after a revision of Presidential Regulation No. 61/2014 is completed, expected to be early next month. (bbn)