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09 Aug 2025

Indonesia Accelerates Construction of 1st Bioethanol Factory in South Papua

09 Aug 2025  by Xinhua   
On Friday, Indonesian Deputy Minister of Energy and Mineral Resources Yuliot Tanjung announced the construction of the country’s first bioethanol factory in Merauke, South Papua province. This initiative aims to promote alternative energy sources and reduce reliance on fossil fuels.

Bioethanol, a renewable liquid fuel derived from plant-based materials, will be produced using sugarcane as the primary raw material. The government has designated 2 million hectares of land in Merauke for sugarcane plantations to support the factory’s operations.

“We hope that in 2027 we will be producing bioethanol in Merauke, South Papua,” Yuliot said during a briefing.

The facility will consist of three production units, each with an annual capacity of 300,000 kiloliters. This development is a significant step toward enhancing Indonesia’s energy diversification, supporting sustainable fuel production, and meeting domestic energy needs with eco-friendly alternatives.

The Merauke bioethanol project aligns with Indonesia’s broader efforts to integrate renewable energy into its energy mix. By leveraging local agricultural resources, the initiative is expected to contribute to economic growth in South Papua while advancing the country’s commitment to cleaner energy solutions.

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