Jakarta – In a significant move toward sustainable energy independence, Vice President Gibran Rakabuming Raka conducted a high-level visit to the Pertamina Patra Niaga Cilacap Refinery on Monday (October 26, 2026). The visit focused on the facility’s cutting-edge efforts to transform used cooking oil—commonly known as minyak jelantah—into Sustainable Aviation Fuel (SAF), an eco-friendly alternative to traditional jet fuel.

The initiative marks a pivotal moment for Indonesia’s green transition, blending high-tech industrial processing with grassroots community empowerment. As the global aviation industry faces mounting pressure to decarbonize, Indonesia is positioning itself as a key player in the production of renewable fuels, leveraging both its technological infrastructure and its vast, untapped potential for circular economy waste management.


The Core Objective: Turning Waste into High-Value Energy

During his tour of the Green Refinery, Vice President Gibran emphasized that technological innovation must transcend the walls of industrial plants to provide tangible benefits for the Indonesian people. He argued that the development of SAF should not be viewed merely as a corporate project, but as a mechanism for social economic upliftment.

"The development of SAF must run in tandem with community empowerment," Gibran stated. "By connecting the collection of used cooking oil—managed by local households and community waste banks—directly to the national industrial supply chain, we create a system where waste becomes a source of economic value for our citizens."

The Vice President’s message highlights a shift in the government’s approach to energy transition: one that prioritizes inclusivity. By formalizing the collection of used cooking oil, the government aims to create a sustainable "prosumer" model where citizens are not just consumers of energy, but essential contributors to the national energy supply chain.


Technical Innovation: The Green Refinery Process

The heart of this initiative lies in the Cilacap Green Refinery, a facility specifically engineered to process bio-based feedstocks. Taufik Aditiyawarman, Deputy President Director I of Pertamina Patra Niaga, explained the technical intricacies of the project during the Vice President’s visit.

How It Works: The TDHT Scheme

The production of Pertamina SAF utilizes the Thermal Distillate Hydro Treating (TDHT) facility. Through a process known as "co-processing," used cooking oil is blended with traditional fossil-based feedstocks within the refinery units.

"We have reached the commercialization stage," Taufik noted. "In October alone, we produced approximately 11 million liters of co-processed SAF. Currently, the ratio of used cooking oil is capped at 5 percent of the total capacity of the TDHT unit. This strategy allows us to utilize existing refinery infrastructure while gradually transitioning toward a higher percentage of renewable components."

International Standards and Certification

The ambition of the project extends beyond domestic consumption. Pertamina has successfully secured the International Sustainability and Carbon Certification (ISCC). This certification is critical, as it aligns the Indonesian product with the Carbon Offsetting and Reduction Scheme for International Aviation (CORSIA)—mandated by the International Civil Aviation Organization (ICAO)—and satisfies stringent European Union (EU) sustainability criteria. With these certifications in hand, Pertamina is now positioned to act as both a producer and an international trader of SAF, supplying both domestic and global aviation markets.


Building the Ecosystem: From Households to Refineries

A key pillar of the project is the Community Involvement and Development (CID) program, which aims to formalize the collection of used cooking oil. Without an organized collection system, this oil often ends up being discarded in drains or reused indefinitely, posing both environmental and health risks.

The Role of Community Waste Banks

Pertamina Patra Niaga has partnered with local waste management groups, known as bank sampah, to act as collection hubs. In the vicinity of the Cilacap Refinery, three primary banks have been empowered:

  • Bank Sampah Beo Asri: With an annual collection volume of 2,283 liters.
  • Bank Sampah Abhipraya: Collecting 984 liters annually.
  • Bank Sampah Cahaya Asri: Collecting 717 liters annually.

Beyond these banks, the company has deployed "Collection Boxes" in strategic locations, such as the Amarta Kutawaru Market. These boxes provide a convenient, accessible way for residents to deposit their used cooking oil in exchange for cash or e-wallet balances.

"We are essentially changing the narrative around used cooking oil," Taufik explained. "Previously viewed as a waste product that causes pollution, it is now a valuable commodity. By providing an easy collection infrastructure, we ensure that this resource enters the industrial loop rather than the ecosystem."

Expanding the Network

The success in Cilacap is serving as a pilot model for a nationwide rollout. Pertamina is currently expanding its collection box network to various Petrol Stations (SPBU) across Indonesia. This strategy aims to create a seamless, nation-wide logistics network that makes it easy for households and small businesses to participate in the green economy.


Economic and Environmental Implications

The implications of this initiative are far-reaching, touching on environmental sustainability, national energy security, and poverty alleviation.

1. Environmental Impact

Aviation is one of the hardest sectors to decarbonize due to the high energy density required for flight. By replacing a portion of conventional jet fuel with SAF derived from waste, the carbon footprint of the aviation industry is significantly reduced. This is a critical step for Indonesia to meet its Nationally Determined Contributions (NDCs) under the Paris Agreement.

2. Strengthening the Circular Economy

The program exemplifies the principles of a circular economy. Waste that was once an environmental liability is converted into a high-value industrial product. This reduces reliance on imported aviation fuels and supports the government’s goal of energy self-sufficiency.

3. Economic Empowerment

For the families involved in the waste banks, the program provides a secondary income stream. While the amounts per household may seem modest, the cumulative effect of thousands of households participating in the program creates a significant financial impact for rural and peri-urban communities. It formalizes a previously informal sector, providing stability and incentivizing better waste management practices.


Looking Ahead: The Future of Renewable Fuel in Indonesia

While the current focus is on SAF, the technology behind the Cilacap Refinery is versatile. Pertamina Patra Niaga has already successfully conducted trials to use processed used cooking oil as a raw material for "Green Gasoline." This suggests that the scope of the project will likely broaden, potentially impacting the land-based transportation sector in the near future.

The integration of advanced refinery technology with community-based supply chains presents a robust model for other developing nations. By addressing the logistical challenges of raw material collection through community engagement, Pertamina is bypassing one of the biggest hurdles in the biofuel industry: the lack of a reliable, consistent feedstock supply chain.

Challenges and Opportunities

Despite the progress, the project faces challenges. Scaling the collection system to a national level requires immense coordination, logistics management, and public education. Ensuring that the supply of used cooking oil remains consistent while maintaining the quality standards required for aviation fuel will be the next major hurdle for the company.

However, the political backing from the Vice President suggests that the project will remain a priority in the national agenda. As the aviation industry moves toward "Net Zero 2050," the production of SAF will become an increasingly vital component of the global economy. Indonesia, with its massive potential for biofuel production, is poised to become a significant regional hub in this emerging market.


Conclusion: A Collaborative Path Forward

The visit by Vice President Gibran to the Cilacap Refinery serves as a clear signal of the Indonesian government’s commitment to a green industrial future. By aligning the interests of major industrial players like Pertamina with the daily activities of ordinary citizens, the project creates a shared sense of responsibility toward the environment.

The transformation of minyak jelantah into jet fuel is more than just a scientific achievement; it is a testament to the power of systemic innovation. As the program continues to grow, it offers a blueprint for how Indonesia can harness its resources to build a sustainable, resilient, and inclusive economy. The sky is no longer the limit—it is the destination for a cleaner, more sustainable future powered by the very waste we once discarded.