The Effectiveness of Diesel Subsidy Reform and Determinants Affecting Household Willingness to Use Biodiesel

The subsidy policy of diesel in Indonesia is considered inefficient since it results an increase the burden on Government Budget (APBN), distribution process not well targeted and encourages wastage consumption. Then, 2014 government decided to cut subsidies began marketing alternative solar products, namely biodiesel, as effort ensure energy sustainability. Therefore, this study aims analyze determinant that influences household’s willingness use biodiesel using quantitative methods. show there are three variables having a significant effect age, occupation, knowledge.