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Jakarta Post

Pertamina laments low CPO supply in eastern Indonesia

Pertamina complained on Friday about a lack of fatty acid methyl ester (FAME) supplied to 43 of its fuel terminals.

Stefanno Reinard Sulaiman (The Jakarta Post)
Jakarta
Fri, September 21, 2018

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Pertamina laments low CPO supply in eastern Indonesia Pertamina president director Nicke Widyawati. (JP/Umair Rizaludin)

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tate energy holding company Pertamina complained on Friday about a lack of fatty acid methyl ester (FAME) supplied to 43 of its fuel terminals, where the firm refines it into 20 percent blended biodiesel (B20), from the total 112 terminals available.

FAME, the raw material of which is crude palm oil, has yet to be supplied to Pertamina in the eastern part of Indonesia, such as in East Nusa Tenggara, Maluku, Papua and Sulawesi.

"All of our terminals are ready to produce B20. However, the production of biodiesel depends on FAME, and we haven't receive our full supply," Pertamina president director Nicke Widyawati said on Friday in a press statement.

Pertamina retail marketing director Mas'ud Khamid said FAME was crucial to implementing the government policy of expanding the use of B20.

"Our total need for FAME stands at 5.8 million kiloliters per year. And overall national consumption of Solar diesel fuel is 29 million kiloliters per year," he said.

Regarding state policy on fines face by fuel distributors who fail to produce or distribute B20, Mas'ud said he would discuss the matter with the government.

"We support the fine policy, but we lack FAME. Hence, we will discuss the matter again with the government," he said. (bbn)

 

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