The Indonesian government has announced plans to allocate one million hectares of agricultural land to cultivate raw materials for ethanol production. This initiative supports the newly approved policy mandating a 10% ethanol blend (E10) in all gasoline sold nationwide. So far, the Ministry of Agrarian Affairs and Spatial Planning (ATR) has identified about 240,000 hectares across 18 provinces deemed suitable for the ethanol-feedstock crops, and is now working to scale up land selection to the full one million-hectare target.

The push for E10 fuel ties into Indonesia’s broader strategy to reduce reliance on imported fuel and lower carbon emissions. As part of the rollout, the Ministry of Agriculture plans nationwide cassava cultivation (alongside corn and sugarcane) for ethanol feedstock, and the government is offering investment incentives such as tax holidays for ethanol-production facilities. Additionally, Indonesia has signed a memorandum of understanding with Brazil on biofuel cooperation, highlighting the international dimension of this push.

Source: https://www.chinimandi.com/indonesia-eyes-1-million-hectares-of-land-for-ethanol-feedstock/