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Indonesian firms investigated for faking palm oil as waste to dodge taxes and supply European energy firms, sparking EU concerns over green energy credibility.
Indonesian companies are under investigation for allegedly falsifying palm oil as palm oil mill effluent (POME), a waste byproduct, to evade taxes and supply European energy firms including Eni and Neste.
The probe, based on trade data and customs records, alleges collusion with officials and bribery to mislabel shipments, undermining sustainability claims.
While Eni and Neste say they sourced through certified suppliers and suspended ties after learning of the probe, no direct evidence links them to wrongdoing.
Indonesia has arrested 11 individuals, including customs officials, and restricted exports due to suspicious volumes.
The EU plans to ban palm oil in biofuels by 2030, and experts warn weak verification systems enable fraud, threatening global green energy credibility.
Empresas indonesias investigadas por falsificar aceite de palma como residuo para evadir impuestos y abastecer a empresas europeas de energía, lo que provocó preocupaciones de la UE sobre la credibilidad de la energía verde.