Indonesia’s Minister of Energy and Mineral Resources (ESDM), Bahlil Lahadalia, has revealed the government’s reasoning behind its plan to implement the use of 10 percent ethanol (E10) as a fuel blend starting in 2027.

Bahlil stated that the government is still reviewing the most suitable time to enforce the policy. However, based on current assessments, he believes that the E10 program could realistically be rolled out within the next two years.

“From the current design we are working on, I believe that by 2027 at the latest, this policy can already be implemented,” said Bahlil at the State Palace Complex in Jakarta, on Monday (October 20).

He explained that the application of this policy must also take into account the readiness of domestic ethanol plants. According to him, these production facilities must be fully established before the E10 program is officially executed.

Nevertheless, the government remains determined to accelerate the implementation of the E10 program. Bahlil emphasized that this initiative is an essential step toward achieving Indonesia’s energy independence.

“E10 is part of the government’s strategy to reduce gasoline imports, which are still very high at around 27 million tons per year,” he noted.

Bahlil also mentioned that the government plans to push for the adoption of B50 biodiesel starting next year, following the current use of B40.

Previously, the government had announced a policy to introduce a 10 percent ethanol blend in fuel, initially targeted for implementation in 2026.

“We must achieve energy self-sufficiency. Minister of Energy Bahlil has already stated that next year we will fully transition to biofuel. Therefore, the government is aiming to ensure that Indonesia will no longer import fuel starting next year,” said Coordinating Minister for Food Affairs Zulkifli Hasan in Jakarta on Wednesday (October 15).