Indonesia’s state-owned energy holding company, Pertamina, is intensifying its efforts to drive the country’s energy transition in the transportation sector. The company is prioritizing the development of biofuels, sustainable aviation fuel (SAF), and green hydrogen as part of a broader strategy to reduce carbon emissions while ensuring national energy security.
Pertamina Commitment to Clean, Reliable, and Affordable Energy
Pertamina’s Senior Vice President, Indira Pratyaksa, emphasized that the energy transition is a strategic necessity for Indonesia to remain resilient in a rapidly evolving global environment.
“Pertamina’s focus is not only on environmentally friendly energy but also on energy that is reliable and affordable,” Pratyaksa stated on Saturday.
She highlighted a key milestone in the company’s SAF initiative—a successful test flight conducted by Pelita Air Service on August 20. The flight, which operated a round trip from Jakarta to Bali, used Pertamina’s eco-friendly aviation fuel.
“The SAF we developed has been tested with international partners and has demonstrated up to 85% lower emissions compared to conventional jet fuel,” she explained.
Tackling High Fuel Consumption in Transportation
Norman Ginting, Director of Projects and Operations at PT Pertamina New Renewable Energy (PNRE), noted that the transportation sector consumes 36% of Indonesia’s total energy and accounts for approximately 73% of its fuel usage.
He also pointed out that Indonesia has been dependent on oil imports since 2003. To reduce this dependency and minimize environmental impact, Pertamina is accelerating diversification efforts within the transport sector.
“Indonesia has abundant renewable energy resources, but the transition presents significant challenges,” Ginting said. “Achieving this goal requires collective action and strong collaboration across all sectors.”
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Biodiesel Expansion Through B40 Program
As part of its biodiesel development strategy, Pertamina will support the Indonesian government’s B40 program, which is slated for official launch in 2025. The initiative will be backed by green refineries capable of producing hydrotreated vegetable oil (HVO) to exceed blending requirements.
Advancing Hydrogen and EV Infrastructure
Pertamina is also preparing to launch hydrogen refueling stations in Jakarta and West Java, with operations expected to begin in 2026 and 2028, respectively. These stations will have an initial capacity of 200 to 500 kilograms per day.
In parallel, the company—through the Indonesia Battery Corporation (IBC)—is building an integrated ecosystem for electric vehicles (EVs) and battery energy storage systems (BESS). Pertamina aims to position itself as the largest EV and battery producer in Southeast Asia.
Path Forward
With a multi-pronged strategy spanning SAF, biodiesel, hydrogen, and electric mobility, Pertamina is aiming to lead Indonesia’s transportation sector toward a more sustainable and self-reliant energy future.