The Ministry of Agrarian Affairs and Spatial Planning (ATR) is preparing one million hectares of land to support Indonesia’s plan to require a 10 percent ethanol blend in gasoline sold nationwide, according to Indonesia based Antrara news agency.
ATR Minister Nusron Wahid said in Jakarta on Wednesday that his ministry had so far identified around 240,000 hectares of land across 18 provinces with potential for ethanol production facilities.
“We are still working to expand the coverage to one million hectares,” he told reporters.
The move follows the government’s approval of the mandatory 10 percent ethanol fuel blend (E10) policy earlier this month. On October 7, Minister of Energy and Mineral Resources Bahlil Lahadalia announced that President Prabowo Subianto had endorsed the plan as part of efforts to curb fuel imports and reduce carbon emissions.
Lahadalia described the E10 program as a strategic step toward strengthening Indonesia’s energy independence while promoting cleaner and more environmentally friendly fuels.
In a related development, Agriculture Minister Andi Amran Sulaiman said on October 21 that President Prabowo had instructed his team to prepare one million hectares of land for cassava cultivation — one of the main raw materials for ethanol, alongside corn and sugarcane.
Sulaiman confirmed that the cassava project would be implemented nationwide, though specific locations are still being determined in coordination with the ATR Ministry. “The plan is to carry out this initiative across the country, in regions with suitable conditions,” he said.
To implement the E10 policy by 2027, the government plans to offer incentives such as potential tax holidays for companies investing in ethanol production facilities.
Indonesia is also seeking international cooperation to support its biofuel ambitions. On October 23, the government signed a memorandum of understanding with Brazil on the development of ethanol-based biofuels. The agreement was inked in Jakarta in the presence of President Prabowo Subianto and Brazilian President Luiz Inácio Lula da Silva.
