ULOG: 16 "Pertamina Admits Less Biodiesel Mixture Supply"

Img source : asorum.com

PT Pertamina (Persero) claimed that it was still in short supply of fatty acid methyl ether (FAME) from the producers to carry out the mandatory expansion program for 20 percent biodiesel mixture in diesel (B20).

In the official statement of the Ministry of State-Owned Enterprises (SOEs), it was stated that currently 112 of the company's Fuel terminals (TBBM) were ready to process FAME to be mixed with Solar-type fuels.

However, from 112 TBBM, only 69 TBBM have received FAME distribution. While most of the areas that have not been channeled by FAME are in the eastern regions such as East Nusa Tenggara, Maluku, Papua and Sulawesi

"All Pertamina installations are ready for blending B20. However, the distribution of B20 depends on the FAME supply, where up to now the supply has not been maximally obtained," Pertamina President Director Nicke Widyawati said in a short message quoted from the BUMN Ministry's official statement on Friday (21 / 9).

Pertamina's Retail Marketing Director, Mas'ud Khamid, explained that the success of the company to support the government program will greatly depend on the sustainability of the FAME supply from the producers.

He gave an example, TBBM Plumpang in Jakarta during 15-20 September 2018 could not optimally produce B20 due to lack of supply from FAME producers. On the other hand, Pertamina still has to produce fuel to meet the needs of the community.

"Pertamina has 112 BBM terminals, we are all ready to process it as long as the supply is available from partners who produce FAME. Once the FAME comes in, we can blend and sell directly," he said.

Mas'ud said that Pertamina's total FAME needs to be mixed with diesel subsidies and non-subsidies around 5.8 million kiloliters (kl) per year. The total consumption of diesel subsidies and non-subsidies is 29 million kiloliters per year.

Regarding the fine of Rp6,000 per liter for the BBM business entity that did not mix FAME, Mas'ud said that his party would discuss with the government regarding this matter.

"We support this fine in order to be disciplined, but if there is no condition in the FAME supply field, we also cannot process and distribute B20. So this must be discussed again with the government," he said.