Jakarta (ANTARA News) - Indonesia`s small and medium-scale industries could take part in the development of green diesel-fueled automotive, initiated by the government, to encourage the use of palm oil derivative products, Industry Ministry Airlangga Hartarto said.

Hartarto made his statement here on Monday, in response to the industry`s demand to take part in the development of electric cars.

According to the minister, electric cars would need much fewer components compared to oil-fueled automotive; thus, it would also reduce the role of small-scale manufacturers.

"In Indonesia, the use of gasoline for automotives would increase by 2025. We have palm oil, and it could be processed as green diesel, environmental-friendly diesel fuel," he stated.

The minister disclosed that during a cabinet session recently, the government had agreed to encourage the consumption of green diesel or B100, which will use the abundant supply of palm oil in the country.

A system known as the "B" factor has been used widely to state the amount of biodiesel in any fuel mix. One hundred percent biodiesel is referred to as B100, while a mix of 20 percent biodiesel and 80 percent petrodiesel is labeled B20.

Green diesel has different technology, with B20 in its production.

"B20 is produced with esterification process, while green diesel is produced via hydrogenation process. We will choose this, and we would have the opportunity to develop the green diesel-based industries," he elaborated.

Therefore, oil-fueled automotive industry would continue to grow and small-scale component industry could play its role in the development of automotive technology, with the use of clean and environmental friendly alternative energy, he pointed out.

Reported by Ade Irma Junida
(S022/INE)
(T.SYS/A/KR-BSR/B/E002)

Reporter: antara
Editor: Heru Purwanto
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