Plaju and Dumai Refineries to be Converted to B100 Refineries

THE government is planning to convert two old petroleum refineries into 100 percent biodiesel (B100) refineries.

Plaju and Dumai Refineries to be Converted to B100 Refineries
THE government is planning to convert two old petroleum refineries into 100 percent biodiesel (B100) refineries. The two refineries are located in Plaju, Palembang, South Sumatera and in Dumai, Riau. “We are going to convert the two refineries to produce palm oil-based biofuels. One of them was built in 1930s,” Minister of State-Owned Enterprises Rini Soemarno said in press conference concerning Infrastructure Investment Forum in the event of IMF-World Bank Meeting at Conrad Hotel, Nusa Dua, Bali, Tuesday (9/10/2018) as reported by Tempo.co. Rini said this plan was inspired by ENI S.p.A, an Italian oil company that has done refineries conversion before. She said that she is working on the plan to modernize the refineries, including doing feasibility study in collaboration with ENI. “This conversion is expected to reduce diesel fuel import,” Rini said. Currently, the government is implementing expanded B20 mandatory program that was introduced on 1 September 2018. The program make it mandatory to use B20 in both Public Service Obligation (PSO) and non-PSO. Since then, all sectors has used B20, fuel which is a blend of 20 percent by volume biodiesel with 80 percent by volume petroleum diesel. ***