Airlangga Reveals the Implementation of B50 Foreign Exchange Savings Reaches IDR 177 Trillion

JAKARTA - Coordinating Minister for Economic Affairs Airlangga Hartarto emphasized the implementation of B50 biodiesel as one of the main government strategies to strengthen national energy resilience amid high global economic uncertainty.

He explained that the global condition is still overshadowed by various risks, ranging from geopolitical conflicts such as the war in Ukraine and tensions in the Strait of Hormuz to rapid technological developments, including artificial intelligence (AI).

Airlangga added that in this situation, the government chose to strengthen the economic foundation through supply chain strengthening, food security, and energy sovereignty.

"The President's (Prabowo Subianto) instructions, we strengthen in every uncertainty that is related to food sovereignty and energy sovereignty," he said in a press conference, Friday, June 10.

According to him, this policy not only increases energy independence, but is also able to stop solar imports so as to save the country's foreign exchange up to IDR 177 trillion.

Airlangga said the implementation of B50 was proof that Indonesia was able to rely on its own resources to meet national energy needs.

"The B-50 shows that Indonesia can have its own strength. Because with the B50, we no longer import solar and we save Rp177 trillion in foreign exchange and contribute to net zero emissions of 44 million tons of CO2e," he said.

For information, biodiesel is an alternative fuel produced from vegetable oil and animal fat and used as a substitute mixture for solar on diesel engines.

Since July 2026, Indonesia has officially implemented the B50 program after previously implementing the B40 policy.

In addition to strengthening energy resilience through biodiesel, he said the government has also begun to realize the construction of a 100 gigawatt (GW) solar power plant (PLTS).

Airlangga explained that the program was supported by the readiness of the national battery downstream industry which not only supplies the needs of electric vehicles, but also energy storage systems (battery energy storage systems).

He added that investment for the development of the battery ecosystem has been carried out in a number of industrial areas, including in Kendal, Central Java, as well as several areas in East Java.

"The President encourages the start of the 100 gigawatt solar-based program where for the downstream, the electric battery ecosystem is ready, not only for automotive but also for battery storage systems, and that investment in the region, whether in Kendal or in Central Java and East Java," he said.

On the other hand, he said the government is also accelerating the development of the digital economy through the development of data centers, semiconductor industries, and strengthening digital infrastructure as a support for long-term economic growth.

According to Airlangga, the development of the AI ecosystem requires support for green energy, inter-island fiber optic networks, and adequate international connectivity.

He said Indonesia currently has a number of submarine cable landing points that connect the domestic network with Singapore and the United States, so it is considered to have great potential to become a center for data center development in the region.

"From the fiber optic, we have a landing point to regional countries such as with Singapore, there will also be a groundbreaking for a landing point cooperation, the third or fourth point in Batam-Singapore. In addition, we also have a landing point in Bitung to America. So it has great potential for data center development," he explained.