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The Chair of Indonesia Biofuels Producer Association (APROBI) and the Executive Director of the Council of Palm Oil Producing Countries (CPOPC) co-chaired the 3rd Palm Biodiesel Conference on 24 March 2022 in Yogyakarta, Indonesia. The conference, as a Road to G20 event, was in parallel with the 1st Energy Transition Working Group Meeting under the Presidency of Indonesia.
His Excellency Airlangga Hartarto, Coordinating Minister for Economic Affairs of the Republic of Indonesia as the Chairman of CPOPC as well as Chair of the Indonesian Presidency at the G20, and Her Excellency YB Zuraida Kamaruddin, Minister of Primary Industries and Commodities of Malaysia officiated the conference. The Ministers conveyed their views on the crucial role of the biodiesel industry to develop a sustainable and environmentally friendly sector, the policy and economics of higher blending, strategizing the future through stronger collaboration by palm biodiesel producing countries such as technical cooperation in research, and highlighting the progress and the leadership of major palm oil producing countries of Indonesia, Malaysia, Thailand and Colombia in strengthening the biodiesel mandate as an integral part of the palm oil industry.
His Excellency Airlangga Hartarto, Coordinating Minister for Economic Affairs of the Republic of Indonesia as the Chairman of CPOPC as well as Chair of the Indonesian Presidency at the G20, and Her Excellency YB Zuraida Kamaruddin, Minister of Primary Industries and Commodities of Malaysia officiated the conference. The Ministers conveyed their views on the crucial role of the biodiesel industry to develop a sustainable and environmentally friendly sector, the policy and economics of higher blending, strategizing the future through stronger collaboration by palm biodiesel producing countries such as technical cooperation in research, and highlighting the progress and the leadership of major palm oil producing countries of Indonesia, Malaysia, Thailand and Colombia in strengthening the biodiesel mandate as an integral part of the palm oil industry.
As a multi-stakeholder meeting, the conference was attended by representatives of palm oil producing countries, regional and international experts, business and palm oil associations with support from the Malaysian Biodiesel Association (MBA), Thai Biodiesel Producer Association (TBPA), and Indonesia–Malaysia–Thailand Growth Triangle (IMT-GT).
During the conference, speakers and participants to the conference discussed the recent development, current and future opportunities and challenges, and exploring coordinated common approaches in strengthening national biodiesel implementation programs, collaboration and further development of biodiesel-based downstream products. On opportunities, challenges and way forward, the co-chairs noted some important perspectives, feedback and recommendations as follow:
Sharing a common understanding that the global energy architecture needs to continue to evolve and recognized that energy transitions are an essential element of long-term development strategies that should combine economic growth with decreasing GHG emissions.
Affirming the commitment of palm oil producing countries (POPCs) to inclusive energy collaboration in accelerating the clean energy transitions through biofuel initiatives to jointly tackle climate change and achieve United Nations 2030 Sustainable Development Goals.
Encouraging palm oil producing countries to enhance renewable energy development strategies of palm-based biofuel including the implementation of biodiesel mandates, the promotion of its downstream products and to accelerate their implementation, where appropriate, through policy enablers and cross-sector collaborations. A strong synergy among stakeholders of biodiesel industry compounded by consistent government policy, has been the best practice adoptable by any countries. while also noting the importance of raising public awareness on the benefits of palm-based biodiesel.
Confirming the role of biodiesel policies to deliver energy security and desirable economic outcomes in supporting domestic demand, job creation, palm oil price stability, diesel import savings, affordable fuel, and smallholders’ income.
Stating the importance of the biodiesel implementation to address the environmental impacts-related to climate change and committed to foster innovation as one of the key drivers of the energy transition processes. It is accepted that the development of commercially viable palm-based biofuel and its derivatives co-existing with other renewable energies solutions, will further contribute to reducing GHG emissions in line with international commitment of the recent United Nations Framework Convention on Climate Change COP26.
Encouraging palm oil producing countries to enhance cooperation in developing and applying the best available R&D and technologies on palm-based biofuel including to obtain optimum fuel quality in line with biodiesel sustainability indicators through public and private investments and other feasible schemes.
Underlining the importance of biofuels in the energy transition process considering its role in the decarbonization of the transport sector and as such supporting the use of first-generation biofuels. It is widely acknowledged that biodiesel is an environmentally friendly renewable energy and carbon-neutral contributing to emissions reductions notably such that coming from sustainable vegetable oils. Palm oil is well ahead of other sectors towards achieving net-zero emissions.
Endorsing the circular carbon economy platform and its efforts of reducing, reusing, recycling and removing, including the use of relevant innovative technologies of palm-based biofuel that will help to abate and remove GHG emissions.
Asserting the role of biofuel in promoting inclusive sustainable development and supporting the belief that economic growth and environmental protection can and should go hand-in-hand in contributing to the UN 2030 SDGs, especially to ensure universal access to affordable, reliable, and sustainable and modern energy for all.
Recognizing that palm oil biofuels are a good initiative for poverty-reduction and that it has played a role in reducing rural poverty in POPCs. The implementation of the biodiesel mandate program has equitably integrated smallholders in the supply chain and especially been instrumental in stabilizing oil palm smallholders’ fruit bunch price and purchasing power, and for this reason, it is an important development tool for oil palm smallholders and rural people’s livelihood.
Pursuing opportunities to further strengthen cooperation, collaboration and partnerships in palm-based biofuel initiatives to accelerate the clean energy transitions with support from relevant international organizations and other fora including the International Renewable Energy Agency and G20 Energy Transition Ministerial Meeting.
Recognizing that, amidst the current vegetable oils shortage risk and the current energy crisis, there should be strengthened dialogue and cooperation between palm biodiesel producing and consuming countries to harness the existing synergies based on mutual interests, inclusivity, non-discrimination and mutual respect, without compromising the 2030 climate targets.
Showcasing concrete progress made in renewable clean palm-based energy and as a decade of actions where all parties need to accelerate the progress of energy transitions that support green economy.
Calling for palm oil producing countries, led by the CPOPC, to establish a dedicated working group to strengthen closer and concrete collaboration on palm-based biodiesel including through research and development, investments, and exchanges of technology.
Co-chairs looked forward to the G20 Presidency of Indonesia and beyond to take into consideration and support the importance of biodiesel and biofuel developments as an important part of global energy transitions. In that connection, the co-chairs thanked the government of Indonesia as the current president of G20 and all members of the G20 for allowing the conference to be designated as a Road to G20 event and to showcase concrete progress made in renewable clean palm-based energy.
The co-chairs also appreciated the support and contribution of all stakeholders, speakers, participants, sponsors, supporters, and media partners on the successful conference as well as the virtual exhibition on palm oil downstream products held in parallel with the conference.