Indonesia Plans to Develop Sustainable Aviation Fuel from Palm Oil
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PublishedDec 6
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Indonesia Plans to Develop Sustainable Aviation Fuel from Palm Oil

AnalisaHub Editorial·December 6, 2025
Executive Summary
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Executive Summary

Key insights and market outlook

Indonesia plans to develop Sustainable Aviation Fuel (SAF) from palm oil, according to Coordinating Minister for Economic Affairs Airlangga Hartarto. This initiative aims to utilize local resources and potentially reduce the country's reliance on conventional aviation fuel. The development is part of a broader strategy to promote sustainable energy solutions in the aviation sector.

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Deep Dive Analysis

Indonesia to Develop Sustainable Aviation Fuel from Palm Oil

Government Initiative for Sustainable Energy

The Indonesian government has announced plans to develop Sustainable Aviation Fuel (SAF) from palm oil, as revealed by Coordinating Minister for Economic Affairs Airlangga Hartarto. This move is part of the country's efforts to promote sustainable energy solutions and reduce its carbon footprint in the aviation sector.

Utilizing Local Resources

The development of SAF from palm oil will leverage Indonesia's abundant palm oil resources, creating a new value chain in the energy sector. Airlangga highlighted the potential of this initiative to support the country's economic growth while advancing its sustainability goals.

Collaborative Efforts

The initiative is expected to involve collaboration between various stakeholders, including government agencies, state-owned enterprises, and private companies. For instance, PT Pindad and the Palm Oil Plantation Fund Management Agency (BPDP) have already demonstrated successful collaboration in developing production facilities for defense industries, which could serve as a model for this project.

Implications for the Aviation Sector

The adoption of SAF is expected to contribute significantly to reducing greenhouse gas emissions from air travel, aligning with global efforts to make aviation more sustainable. Indonesia's move could also position the country as a leader in the development of sustainable aviation fuels in the region.

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Story Info

Published
1 month ago
Read Time
8 min
Sources
1 verified

Topics Covered

Sustainable Aviation FuelPalm Oil UtilizationEnergy Transition

Key Events

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Sustainable Aviation Fuel Development Plan

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Palm Oil-Based Energy Initiative

Timeline from 1 verified sources