Key facts
- Indonesia has allocated 16.7 million kiloliters of production volume targets for 2026.
- Twenty-six domestic biodiesel producers in Indonesia will implement the B50 mandate.
- Australia is capping soil carbon crediting due to over-crediting risks.
- The Emissions Reduction Assurance Committee recommended mitigation strategies for Australian soil carbon projects.
- Some Australian projects reported soil carbon accumulation rates exceeding scientific literature.
- Spain's demand for HVO Class III is expected to rise from 2027.
- Spain is implementing the EU's RED III directive.
- The shift away from double counting for biofuels necessitates higher absolute volumes of renewable fuels.
Indonesia's Ministry of Energy and Mineral Resources has allocated 16.7 million kiloliters of production volume targets to 26 domestic biodiesel producers for the year 2026. This allocation is intended to facilitate the implementation of the nation's B50 mandate, which mandates a 50% blend of fossil diesel with biodiesel.
In Australia, the Department of Climate Change, Energy, the Environment and Water has announced a cap on soil carbon crediting under its methodology. This decision stems from integrity concerns and the risk of over-crediting. The Emissions Reduction Assurance Committee recommended mitigation strategies after identifying that some projects reported soil carbon accumulation rates that exceeded those found in scientific literature.
Spain anticipates a rise in demand for Hydrotreated Vegetable Oil (HVO) Class III starting in 2027. This projected increase is driven by the country's new mandate that implements the European Union's Renewable Energy Directive III (RED III). The directive's provisions, particularly the shift away from double counting for certain biofuels, will require higher absolute volumes of renewable fuels to meet the mandated greenhouse gas reduction quotas.