October 24, 2025 | 06:26 pm

TEMPO.CO, Jakarta - Indonesian Minister of Energy and Mineral Resources, Bahlil Lahadalia, stated that Indonesia and Brazil are collaborating on the development of environmentally friendly, ethanol-based renewable energy.
Bahlil explained that the memorandum of understanding for this collaboration was signed by both parties in the presence of President Prabowo Subianto and President Luiz Inacio Lula da Silva at the Merdeka Palace in Jakarta, yesterday. "This collaboration, among other things, encourages the development of new renewable energy, particularly the transition from the gasoline sector," said Bahlil, citing Antara, Friday, October 24, 2025.
He explained that Brazil has already implemented a nationwide E30 blend of ethanol and gasoline. In fact, in some Brazilian states, it has reached E100, which is pure ethanol without any gasoline mixture.
Bahlil stated that Indonesia is committed to following in Brazil's footsteps by targeting the implementation of the E10 ethanol blend by 2027-2028, before moving towards E20 in the future. According to Bahlil, this initiative aims not only to produce cleaner energy but also to reduce dependence on imported fossil fuels.
The Chair of the Golkar Party added that Indonesia's success in the biodiesel program based on palm oil, from B10 to B40, has inspired the implementation of a similar program in the gasoline sector through ethanol. "In biodiesel, we use CPO, while in gasoline, we use ethanol. The ethanol is sourced from corn, cassava, and sugarcane," he said.
Bahlil mentioned that the development of ethanol will also be a strategy to increase farmers' income as well as to drive downstream processes in the plantation sector. Furthermore, this program is expected to create new economic growth areas in various regions that produce raw materials.
"Because this will definitely happen in the regions, not in Jakarta. So that we can reduce imports, increase people's income, and also lower pollution with good oil quality," said the Minister of Energy.
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