Council Signs Memorandum Of Understanding With Pertamina NRE To Advance Indonesia's Bioethanol Development

As Indonesia moves toward implementing ethanol blending as part of its broader energy transition strategy, the U.S. Grains & BioProducts Council (USGBC) recently partnered with Pertamina New & Renewable Energy (PNRE) to formalize collaboration through a Memorandum of Understanding (MOU) signing in Jakarta.

The event brought together senior government and industry stakeholders from both countries, reflecting the growing importance of bilateral cooperation in supporting Indonesia’s bioethanol roadmap. Attendees included Deputy Chief of Mission of the U.S. Embassy to Indonesia Heather C. Merritt; U.S. Under Secretary of Agriculture for Trade and Foreign Agricultural Affairs Luke J. Lindberg (via pre-recorded remarks); USGBC Chairman Mark Wilson; Deputy President Director of Pertamina Oki Muraza; and PNRE CEO John Anis.

Opening remarks from Merritt and Under Secretary Lindberg highlighted the U.S. government’s support for Indonesia’s energy transition and the role of ethanol in enhancing fuel security and sustainability. The ceremony also underscored the importance of continued engagement between public and private sector stakeholders in advancing practical, scalable biofuel solutions.

In his remarks, Wilson emphasized ethanol represents a readily deployable solution to decarbonize the gasoline pool while strengthening economic ties between the nations.

“Ethanol strengthens bilateral trade and economic ties between the United States and Indonesia… supporting reliable, transparent and resilient supply chains,” Wilson said, noting that strong trade relationships will be critical to ensuring the long-term sustainability of Indonesia’s E10 program.

Wilson added that Indonesia’s experience with biodiesel provides a strong foundation for ethanol, and that a pragmatic, phased approach—supported by both domestic development and international supply—will be key to successful implementation.

Representing Pertamina, Muraza highlighted the strategic importance of bioethanol in Indonesia’s energy transition.

“Bioethanol represents the intersection between energy security and sustainability for Indonesia,” Muraza said, adding that collaboration with international partners will accelerate the development of a robust ethanol ecosystem, particularly in areas such as feedstock diversification, infrastructure readiness and regulatory alignment.

Anis emphasized the role of structured collaboration in building long-term capacity, including joint studies, technical exchange and other knowledge sharing that will be critical in accelerating Indonesia’s ethanol development efforts.

The MOU established a framework for cooperation in technical, commercial and policy-related areas, including studies on ethanol supply chains, infrastructure development and market readiness. It also provided a platform for continued engagement through workshops, training programs and stakeholder dialogue to support Indonesia’s planned transition toward E10 gasoline blending.

“Indonesia is one of the largest gasoline markets in Southeast Asia and is at an early stage of ethanol adoption, with initial programs like Pertamax Green laying the groundwork for broader implementation,” said Caleb Wurth, USGBC regional director for Southeast Asia & Oceania.

“As the country advances toward higher blending targets, these partnerships will play a critical role in ensuring supply reliability, developing infrastructure and aligning policy frameworks.”