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In January, consumption of the palm-based fuel was around 35% higher than the average monthly consumption last year due to the B30 programme, government data showed on Tuesday.
Sugend Suparwoto and Maman Abdurrahman, members of parliament, said they supported the DMO proposal to avoid supply shortage.
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A senior minister has warned that Indonesia may not have enough supplies of CPO to go beyond 50% bio-content if a replanting programme stalls.
Sahat Sinaga, chairman of biofuel group Indonesia Bio-Hydrocarbon Society, said the government should start thinking of planting different crops for future feed stocks of biofuel, especially given there is a moratorium on new palm plantations.
"We have advised the government not to rely on palm alone. There is a big demand for palm oil as food ingredients," Sinaga told Reuters, adding there were four crops that could be used as a replacement.
If Indonesia does not produce new feed stock for biofuel, Sinaga estimated 75% of its palm output will be used domestically within five years, up from around 30% currently.
