Japan pledges US$16 million for biofuel plant in Indonesia

Japan has agreed to provide US$16 million in assistance for a biofuels production facility to be built in East Java, Indonesia. Secretary General of the country’s Industry Department, Agus Tjahyana announced that the assistance, coming from the New Energy and Industrial Technology Development Organisation (NEDO), will particularly help Indonesia to convert molasses from sugar factories into biofuel. According to Subiyono, who is chief director of the 10th National Plantation Firm, the factories in East Java produce 200,000 tons, up to 400,000 tons, of molasses if combined with those produced by farmers. The US$25-million biofuels facility will be built by Sapporo Engineering and Sukisimaki Kai. (August 2, 2010)