ESDM Says Indonesia Could Stop Diesel Imports This Year on Refinery Upgrade Gains

Indonesia’s Energy and Mineral Resources Ministry (ESDM) believes the country can stop importing diesel in $2026$, following the start of operations at Pertamina’s Refinery Development Master Plan (RDMP) project in Balikpapan, which is expected to push domestic diesel production into surplus.

ESDM Oil and Gas Director General Laode Sulaeman recalled a period when Indonesia’s refining capacity lagged behind Singapore’s, leaving the country reliant on imports of crude oil as well as refined products.

In $2025$, Indonesia still imported more than $4$ million $\mathrm{KL}$ of diesel to meet domestic demand. Current domestic diesel production stands at $19$ million $\mathrm{KL}$. With the Balikpapan RDMP coming onstream, Laode said diesel output would increase by another $7$ million $\mathrm{KL}$.

“Total domestic production is $19$ million $\mathrm{KL}$, and we still import more than $4$ million $\mathrm{KL}$. In $2026$, the RDMP will be inaugurated and add $7$ million $\mathrm{KL}$. That means it will be covered. A surplus means $7$ million $\mathrm{KL}$ minus the roughly $4$-plus million $\mathrm{KL}$ we import. So there will be about $1.6$ to $1.7$ million $\mathrm{KL}$ remaining,” Laode said in a podcast on the ESDM Ministry’s YouTube account on Sunday (8/2/2026).

Laode said the government’s focus is not limited to CN48 diesel. Higher-quality CN51 diesel is also being targeted for an import halt this year.

Indonesia still imports around $600,000$ $\mathrm{KL}$ of CN51 diesel. Laode said the country would also be able to stop CN51 diesel imports in the second half of $2026$.

“Yes (we can stop importing). We have made a direct commitment with Pertamina—both the board of directors and the commissioners—that after CN48, we will work to ensure CN51 can follow in the second semester. So, within this year, diesel will be settled,” Laode added.

Earlier, Energy and Mineral Resources Minister Bahlil Lahadalia said the first step would be to stop imports of C48 diesel starting this year. The move is aligned with the mandatory biodiesel program as well as the operation of Pertamina’s integrated refinery upgrade project, the Balikpapan RDMP in East Kalimantan.

“Our total diesel consumption is now roughly $38$ to $39$ million $\mathrm{KL}$ per year. With current production at Pertamina and the RDMP in Balikpapan, and with the accumulated consumption under B40, we now have a surplus of around $1.4$ million $\mathrm{KL}$. Because we have a $1.4$ million $\mathrm{KL}$ surplus, in $2026$ we will no longer—let me repeat—no longer import diesel,” Bahlil said during a working meeting with House of Representatives Commission XII on Thursday ($22/1$).

Indonesianpost.com | Detik