Rahmadi, A & Lu Aye 2003 'Biodiesel from Palm Oil as an Alternative fuel for Indonesia: Opportunities and Challenges', 41st Annual Conference of the Australian and New Zealand Solar Energy Society, Destination Renewables: from Research to Market, Melbourne, Australia, 26-29 November 2003, pp.322-328.

Abstract

Biodiesel from palm oil based appears to be a practicable long-term solution for Indonesia to overcome the drop in world palm oil price for the past four years and to provide an alternative renewable energy source to strengthen the country's energy security. Although the fuel may offer many advantages as a direct fossil diesel fuel substitute, it also possesses several disadvantages such as higher price compared to mineral diesel fuel and fluctuation in raw material price. It might also accelerate the current tropical deforestation in Indonesia due to rapid development of palm oil plantations. Therefore, a comprehensive national energy policy should be formulated. The role of the government of Indonesia (GOI), along with the active participation of the palm oil business community, is crucial to the success of biodiesel development in Indonesia.

Keywords: Biodiesel; Palm Oil; Indonesia