The Energy and Mineral Resources Ministry has set the market index price of biodiesel for April 2022 at Rp15,559 per liter.
“The market index price of biodiesel for April is Rp15,559 per liter plus transport cost that takes effect on April 1, 2022,” Director General of New and Renewable Energy and Energy Conservation at the Energy and Mineral Resources Ministry Dadan Kusdiana noted in a written statement here on Wednesday.
The market price of biodiesel for April 2022 represented a 7.77-percent increase as compared to March 2022 when the price was recorded at Rp14,436 per litter.
The biodiesel market index price hike was attributed to an increase in the average price of crude palm oil (CPO) during the March 25-April 24, 2022 period that reached Rp16,665 per kilogram.
The CPO price for the January 25-February 24, 2022 period was pegged at Rp14,352 per kilogram.
The conversion rate of CPO into biodiesel is still recorded at U$85 per metric ton. Meanwhile, the conversion of currency using the average Bank Indonesia mid-rate reference for the March 25-April 24, 2022 period was recorded at Rp14,348 per US dollar.
Biodiesel is a form of vegetable fuel comprising a mixture of methyl ester compounds from long-chain fatty acid esters used as an alternative for diesel engine.
The mandatory use of biodiesel launched by the government currently reaches 30-percent fuel produced from palm oil and 70 percent from diesel oil. The product called biosolar is sold for Rp5,140 per liter at gas stations (SPBU).
Source: Antara News