Jakarta: Indonesia’s Minister of Energy and Mineral Resources, Bahlil Lahadalia, has said the government is open to importing ethanol, including from the United States, as part of its plan to expand clean energy use, VOI reported.
Speaking on Friday, Bahlil said the government plans to make the blending of gasoline with ethanol mandatory. He explained that the move is aimed at creating new business opportunities within Indonesia while strengthening the country’s energy sector.
He clarified that ethanol imports would be considered only if domestic production falls short of national requirements. As long as local output is sufficient, imports would not be necessary. He added that any imports, including those from the United States, would run alongside efforts to raise domestic production.
The minister said the ethanol blending programme is designed to support energy independence and reinforce national energy security. The government has committed to gradually introducing mandatory bioethanol blends, beginning with E5 in 2028 and moving to E10 in 2030. Plans are also being directed toward E20, depending on the readiness of production, distribution systems and supporting infrastructure.
During the transition phase, Indonesia will allow trade cooperation with several partners, including the United States, based on domestic needs and in a measured manner. At the same time, steps are being taken to strengthen local production capacity to ensure the long-term growth of the national bioethanol industry.
Bahlil said the implementation of the Agreement of Reciprocal Trade in the energy and mineral resources sector would be carried out gradually and in line with national interests. He stressed that the agreement should benefit all sides.
Referring to guidance from Prabowo Subianto, Bahlil said the government aims to ensure that the agreement delivers mutual gains and supports Indonesia’s long-term energy resilience.
