Monday, 2 November 2026 Biodiesel HIP Oct IDR 15,072/litre CPO Ref. Oct US$1,042.15/MT Riau FFB IDR 3,733.74/kg Mandate B50 mandatory
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Agrinas Targets 600,000 kL of Biodiesel by 2027 as Torganda Land Review Continues

Agrinas aims to contribute 600,000 kL of biodiesel by late 2027. Its palm-oil project assignment is announced, but Torganda's land status remains under review.

Illustration of young oil palms and distant industrial tanks, not a photograph of Torganda
AI-generated illustration, not an event photo.
Contents (3 sections)

Jakarta — State-owned PT Agrinas Palma Nusantara aims to contribute 600,000 kilolitres of biodiesel to Indonesia's B50 programme by December 2027 at the latest. Chief executive Mohammad Abdul Ghani set out the target after receiving documents for a palm-oil National Strategic Project (PSN) assignment at Bappenas on 23 October 2026. The volume is a company target, not verified output or deliveries already made.

According to detikFinance, the assignment concerns governance of state and smallholder palm oil operations. Agrinas also plans to replant the former Torganda area in North Sumatra. The proposed plantation work and the biodiesel target should not be mistaken for production capacity already in place.

A future contribution, not current supply

Abdul Ghani said the company wanted to support B50 and the government's broader energy plans. He described December 2027 as the latest deadline for its intended 600,000-kilolitre contribution. A separate detikFinance report on the handover recorded the same target. The reports did not establish monthly production, an operating facility delivering that amount, or a supply agreement demonstrating that the target has been met.

Bappenas official Kurniawan Ariadi said the relevant national project was the Programme to Accelerate Strengthening Governance of the Palm Oil Agribusiness Ecosystem, under Presidential Regulation No. 68 of 2026. It covers state and smallholder palm oil activities in designated areas, with Agrinas involved in the upstream component. Bappenas said it would monitor implementation. Being named a project operator does not by itself mean the plantation and downstream fuel components have been completed.

Torganda land status remains unresolved

The company is planning replanting across roughly 48,000 hectares in the former Torganda area. DetikFinance reported that the land remains designated as production forest while Agrinas seeks a change in status to other-use land before pursuing cultivation rights. An integrated team has been formed for field review. No final change-of-status decision was reported in the sources consulted. The figure is thus the area covered by a proposal, not an established area of newly authorised planting.

RMOL's report from the same event describes the sequence as an application, field examination and then a government decision. Agrinas wants to develop both estate and smallholder-plasma operations after the land issue is resolved. None of this demonstrates that Torganda fruit can immediately feed the 2027 biodiesel goal. Land permissions, replanting, processing and fuel supply are separate stages that require separate evidence.

Smallholder support is also a plan

Abdul Ghani outlined a scheme under which company staff would assist plasma farmers with financing, organisation, bookkeeping and cultivation. Both detikFinance and RMOL reported the aspiration to bring smallholder yields and oil-extraction performance closer to those of the company's own estate. That is a programme objective, not a measured result. The reports provide no before-and-after yield figures for participating farmers.

The B50 connection is the potential link from palm cultivation to feedstock and fuel production. Readers should distinguish the announced PSN assignment from the pending land-status process and the 2027 biodiesel delivery target. Each milestone calls for its own documentation, especially a land decision and independently checkable production reporting.

The next developments to watch are the decision on Torganda's land status, implementation of the plasma support plan and Agrinas's biodiesel output data. Until those are available, the 600,000-kilolitre figure remains a prospective commitment rather than an addition already delivered to the B50 market. For background, see the B50 guide and biodiesel producer data.

Sources & references