Towards Energy Self-Sufficiency, Indonesia is Ready to Stop Solar Imports by 2026
Jakarta – The Indonesian government is increasingly optimistic about stopping imports of diesel fuel (BBM) starting in 2026. This strategic step is certain to be achieved along with the operation of the major Refinery Development Master Plan (RDMP) project at the Balikpapan Refinery, East Kalimantan, which is an important milestone in the effort to achieve national energy independence.
The Minister of Energy and Mineral Resources (ESDM), Bahlil Lahadalia, stated that the operation of the Balikpapan Refinery RDMP will strengthen the national fuel supply, especially for diesel products.
This refinery project has an increased processing capacity of up to 360 thousand barrels per day, which will help meet domestic energy needs, while reducing Indonesia’s dependence on energy imports.
“God willing, once the Balikpapan Refinery’s RDMP is fully operational, we can stop importing diesel fuel. This is a concrete step to promote energy sovereignty. We no longer want to rely on foreign fuel supplies,” Bahlil emphasized.
With increased refinery capacity, domestic diesel production can cover more than the national demand, which is currently recorded at 39.8 million kiloliters per year.
In this regard, the B40 program, which relies on a biofuel blend, contributes 15.9 million kiloliters of FAME supply, reducing reliance on pure diesel, which currently stands at 23.9 million kiloliters per year.
With diesel production capacity already reaching 26.5 million kiloliters, stopping diesel imports is realistic starting mid-2026.
In addition to diesel fuel, the government is also targeting a reduction in gasoline imports. By optimizing the capacity of the Balikpapan Refinery’s RDMP (Refinery Refinery Development Plant), production of gasoline with an octane rating above RON 90 could increase to 5.8 million kiloliters per year, which would reduce dependence on imported gasoline, particularly for RON 92, RON 95, and RON 98.
Bahlil also revealed that the implementation of E10 biofuel, which will be implemented in the near future, could save up to 3.9 million kiloliters of gasoline imports per year.
The Director General of Oil and Gas at the Ministry of Energy and Mineral Resources, Laode Sulaeman, emphasized that this policy not only applies to state-owned enterprises, but also binds private gas station businesses in Indonesia.
“Starting this year, diesel import permits will no longer be issued. All private gas station operators are required to purchase diesel from domestic refineries,” Laode explained.
As part of the development of the Balikpapan Refinery RDMP, integrated supporting facilities such as the Crude Distillation Unit (CDU) and Residual Fluid Catalytic Cracking (RFCC) have also been equipped to improve the quality and quantity of domestic fuel production.
This refinery has met quality standards almost equivalent to Euro 5 and supports Indonesia’s efforts towards net zero emissions.