Indonesia's state energy company PT Pertamina has revealed plans to make oil products such as diesel and jet fuel out of palm oil.
Indonesia, the world's biggest producer of palm oil, has a mandatory biodiesel programme with 30% palm oil content known as B30, but the government is keen to expand the use of the vegetable oil for energy.
Ifki Sukarya, a senior Pertamina official, said "green diesel" uses refined, bleached and deodorised palm oil (RBDPO), which is palm oil that has been refined to remove free fatty acids and purification to remove colour and odour.
The other product is the sustainable aviation fuel, which uses refined, bleached, and deodorised palm kernel Oil (RBDPKO).
Reuters reported that Pertamina will process 3,000 barrels of RBDPO per day to produce D100 biodiesel that is set to come onstream in December in the first stage.
It will follow that with processing 6,000 barrels of crude palm oil per day to make biodiesel or jet fuel from December 2022.
Ifki said the production capacity for the green diesel and the jet fuel at its Cilacap refinery on Java island could be increased starting in 2023.
While biodiesel promises significantly lower carbon emissions, the land clearance taking place to grow palm oil has raised concerns among environmentalists about deforestation.
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