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How Regulation 12/2015 from MEMR Shift Supply and Demand in Indonesia Aviation Fuel Industries

Author

Listed:
  • Ibrahim Akbar

    (Bandung Institute of Technology, Indonesia)

  • Yusnur Rainday Ahmad

    (Bandung Institute of Technology, Indonesia)

  • Dzaky Abdul Hanief

    (Bandung Institute of Technology, Indonesia)

  • Sofian Kurniawan

    (Bandung Institute of Technology, Indonesia)

  • Farandy Haris

    (Bandung Institute of Technology, Indonesia)

Abstract

The aviation fuel industry lately is shifting as new aviation products are penetrating the existing market all around the world, including Indonesia. Sustainable Aviation Fuel or known as SAF, is a new aviation industry product that aims to reduce emissions with the same specification and performance compared to conventional aviation fuel. As some countries or continents mandate the use of SAF, demand, and supply for SAF are forming while demand and supply for conventional aviation fuel is starting to shift. Indonesia through the Ministry of Energy and Mineral Resources encourages industry players to start using SAF. Many correlated industries favor the use of SAF as it will nurture new renewable energy businesses in Indonesia, starting from the feedstock industry such as the Used Cooking Oil Collecting industry, POME, etc. to renewable/green refines to refine the product. Ministry of Energy and Mineral Resources Regulation number 12/2025 Mandate the use of Bio Component of SAF which will shift the conventional aviation fuel demand.

Suggested Citation

  • Ibrahim Akbar & Yusnur Rainday Ahmad & Dzaky Abdul Hanief & Sofian Kurniawan & Farandy Haris, 2025. "How Regulation 12/2015 from MEMR Shift Supply and Demand in Indonesia Aviation Fuel Industries," European Journal of Business and Management Research, European Open Science, vol. 10(1), pages 165-171, January.
    • Handle: RePEc:epw:ejbmr0:v:10:y:2025:i:1:id:52545
    DOI: 10.24018/ejbmr.2025.10.1.2545
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