July 10, 2026, the Ministry of Petroleum and Natural Gas says E20 petrol — 20% ethanol — could cut fuel economy by 3-5% in some cars. But they argue benefits like higher octane and cleaner burn make up for it.
Responding to critics of Ethanol Blended Petrol Programme,Ministry insists it wasn't rushed. India's ethanol push began with pilot projects in 2001 . By 2006, 5% blends were in select areas.
Progress was slow, with blending at 1.5% till 2014. Things sped up after 2018's National Policy on Biofuels. This policy broadened feedstock use beyond sugarcane, boosting ethanol output. By 2022,India hit 10% blending early; 20% target reached by 2025-26 supply year,helped by new ethanol plants and better logistics.
On concerns about E20's compatibility with older cars,Ministry says extensive tests on engine durability and emissions showed no major issues . Major automakers like Maruti Suzuki and Hero MotoCorp reported no problems with E20 in real-world conditions.
Despite calls for multiple fuel grades at pumps, Ministry refused. They say parallel supply chains would complicate logistics, raise costs at over 100,000 outlets .
As for pricing,Ministry notes E20 isn't always cheaper than regular petrol. Ethanol prices,set to support farmers, can sometimes be higher than petrol costs, especially when crude oil prices drop . Goal isn't cheaper fuel, but reducing crude imports,stabilizing prices, and boosting energy security.
Since 2014-15,the programme saved over ₹1.97 lakh crore in foreign exchange,cut 316 lakh tonnes of crude imports, and reduced CO2 emissions by about 952 lakh tonnes. It also funneled ₹1.66 lakh crore to farmers.
Ministry urges consumers to ignore E20 misinformation. They stress fuel's been rigorously tested by car makers,testing bodies,oil companies, and regulators before national rollout.
