CPO Price and Dollar Rate Influence Price Index of BBN Market May 2018

INDUSTRY.co.id - Jakarta  - The Ministry of Energy and Mineral Resources (ESDM) through the Directorate General of Renewable Energy and Energy Conservation (DG EBTKE) re-released the Market Fuel Index (HIP) price index for May 2018.

The price of the two biofuel commodities is changing differently; HIP Biodiesel has decreased while HIP Bioethanol has increased slightly.

Based on Letter of Director General of EBTKE number 2475/12 / DJE / 2018 dated 27 April 2018, Biodiesel price for May 2018 is set at Rp 8,261 / liter.

The price does not include freight charges specified in ESDM Ministerial Decree no. 1770 K / 12 / MEM / 2018. If compared to the previous month, the price of Biodiesel decreased Rp 95 / liter from the price of Rp 8,356.00 / liter in April 2018.

Biodiesel price decline is influenced by price movements Crude Palm Oil (CPO), which decreased compared to the previous month. For the period March 25 to April 24, 2018, the average price of CPO Kharisma Marketing Bersama (KPB) Rp 8.118 / liter, decreased Rp. 112 / liter from the price in the period of 25 February to 24 March 2018 amounting to Rp 8,230 / liter.

While HIP Bioethanol in May 2018 set at Rp 10,147 / liter, slightly increased Rp 7 / liter from last April price of Rp 10,140 / liter.

Bioethanol price increase is the impact of changes in the US dollar exchange rate, although the average price of sugarcane juice Kharisma Marketing Bersama (CDE) recorded no change. Conversion of the exchange rate using the average of Bank Indonesia's middle rate between March 25 and April 24, 2018.

For information, the amount of HIP BBN Biodiesel and Bioethanol is determined every month and evaluated for at least 6 months by Director General of EBTKE.