JAKARTA (TheInsiderStories) - Indonesian palm oil fund management body (CPO Fund) is targeting to collect Rp8 trillion ($571.43 million) from 157 exporters in 2016, up from Rp5 trillion this year.
Finance Ministry has released a new decree of export levy imposed on palm oil businesses export with range of $10 to $50 per ton starting July, 2015. The ministry issued the new levy tariffs rules through ministerial decree PMK No. 114.PMK.05 / 2015.
All producers for palm oil, CPO or its derivatives, the business results of industrial raw material palm oil and commodity exporter over palm oil, will pay the tariff to the agency in rupiah. The agency has started collecting the CPO export levy on July 16.
The fund from CPO export levy will be used to replant 2,000 hectares land. It expects to add bio diesel production of 5.2 million kiloliters per year in the next four years.
Chief executive CPO Fund Bayu Khrisnamurti, said in this year the agency will disburse Rp218 billion to supply bio diesel 375,000 kilo liter to state owned energy producer PT Pertamina. While in 2016, the agency targets to supply as much as 3.6 million kiloliters bio diesel to Pertamina.
Talking on Suistanable Supply Chain by 2020 target, Bayu said, Indonesia has supplied CPO about 4 million ton to the European Union in 2015, from the total needs of 7.3 million tons.
“All products have been internationally certified with sustainable palm oil (CSPO). I think our export will grow up to 4% in 2016,” he stated.
Based on COP 21 – UNFCC in Le Bourget Paris, Bayu said, Indonesia could reduce the emission by 9.4–16 million tons of CO2e per year or 7-13 percent from total target of transportation emission.
By 2020 Indonesia has capability to reduce up to 6 million tons of CO2e following the development of Methane Capture Facilities (MCF) in Indonesia with capacity of 90 MCF until 2020.