Inp.polri.go.id - Jakarta. The government’s planned methanol plant in Bojonegoro, East Java, will be financed by domestic private investors, without foreign involvement, Minister Of Energy and Mineral Resources Bahlil Lahadalia confirmed on Friday (17/1/2025).

“The investors are entirely from within the country,” he said, as quoted by antaranews.com.

The methanol facility aims to support Indonesia’s biodiesel production, which relies on methanol and ethanol as key components. The ethanol will be sourced from sugarcane plantations being developed in Java and Merauke, Papua.

The project is based on President Prabowo Subianto’s directive to prioritize domestic value-added processing, job creation, and economic growth.

The methanol plant is part of Indonesia’s broader roadmap for energy self-sufficiency, which emphasizes maximizing domestic resources.

President Prabowo recently established the National Energy Security and Downstreaming Task Force, led by Minister Bahlil, to accelerate industrial downstreaming and strengthen energy resilience.

(mg/inp/pr/nm)