A fiscal incentive program to produce sustainable aviation fuel from used cooking oil in Indonesia - International Council on Clean Transportation

Establishing a Used Cooking Oil Fund in Indonesia

Indonesia is exploring pathways to incorporate sustainable aviation fuel (SAF) into its national biofuel program, with used cooking oil (UCO) emerging as a promising feedstock.

This research brief examines how the Indonesian government could establish a Used Cooking Oil Fund (UCOF) to support SAF production through export levy revenues, similar to the successful Palm Oil Estate Fund model used for biodiesel.

Key Findings

Indonesia could establish a Used Cooking Oil Fund (UCOF) to support sustainable aviation fuel production through export levy revenues.

Authors: Tenny Kristiana and Chelsea Baldino, October 14, 2025.

Author's summary: Indonesia explores used cooking oil for sustainable aviation fuel production.

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International Council on Clean Transportation International Council on Clean Transportation — 2025-10-14