JAKARTA: Indonesia is planning for the widespread use of the palm-oil based B40 biodiesel in 2025, replacing the current B35 blending, the energy ministry said in a statement.

The world's biggest palm oil maker currently has a mandatory 35% blend of palm oil-based fuel in biodiesel and is seeking to ramp up the new blend of 40% palm oil to cut its energy imports and increase consumption of the oil.

If implemented, the overall biodiesel consumption could reach up to 16 million kilolitres next year, the ministry said.

The ministry said late on Tuesday it had tested the biodiesel, mixed with 40% of palm oil, on a train for the first time earlier this week.

This year, the ministry also plans to test the B40 mix on agriculture machinery, power plants and in the shipping industry, it said.

 - Reuters