MINISTRY of Energy and Mineral Resources (MEMR) has announced biofuel Market Price Index (MPI), included biodiesel and bioethanol, for period of December 2018. Biodiesel price was set lower as low Crude Palm Oil (CPO) price and stronger rupiah to US dollar.
Biodiesel MPI for December 2018 is set at Rp6,589 per liter, down Rp748 from Rp7,277 per liter in November 2018. The price doesn’t include distribution cost that was initially set on the Minister of Energy and Mineral Resources Decree Number 350 K/12/DJE/2018.
On a press release, Monday (10/12/2018), Bureau of Communication, Public Information Service and Cooperation of MEMR said that the MPI is also set for biofuel blended with fuel for B20 mandatory program.
Current MPI decrease was influenced by low CPO price as mentioned on letter of Director General of New Renewable Energy and Energy Conservation of MEMR No 5675/12/DJE/2018. Biodiesel MPI was benchmarked against average CPO price from 25 October 2018 to 24 November 2018 at Rp6,086 per kilogram (kg).
MPI bioethanol is also set lower at Rp10,362 per liter from Rp10,457 per liter in November 2018. The price was benchmarked against average mollases price of Kharisma Pemasaran Bersama (KPB) from 25 July 2018 to 24 November 2018 at Rp1,611 per kg, plus US$0,25 per liter multiplied by 4.125 kg per liter.
Biofuel MPI is gradually set every month and evaluated at least every six month by Directorate General of New Renewable Energy and Energy Conservation. ***