Indonesia identifies 920,000 hectares for ethanol fuel program

Jakarta: The Indonesian government has found about 920,000 hectares of land that can be used for its ethanol fuel program, according to Agrarian Affairs Minister Nusron Wahid, reports Antara News.

The land, located in 18 provinces, brings the government closer to its target of 1 million hectares needed to grow cassava and sugarcane for producing E10 fuel, which is petrol mixed with 10% ethanol.

The program is part of Indonesia’s plan to reduce dependence on imported fuel and promote cleaner energy.

Of the total land found, 680,000 hectares are from expired land concessions, while 240,000 hectares are unused government land. Wahid said the government is still trying to find the remaining 100,000 hectares needed to meet the target.

The E10 program is expected to start in 2027 and will need about 1.4 million kiloliters of ethanol every year. To encourage companies to build ethanol plants, the government plans to offer benefits such as tax breaks.

Indonesia has also signed an agreement with Brazil to help develop ethanol-based fuels.

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