by Dipak K Dash (Times of India)After achieving 20% ethanol blending in petrol, the govt is likely to increase the target to 27% — and call the new blend E27. READ MORE
Related articles
- India plans E27 ethanol fuel blend as push for alternative fuels intensifies (Economic Times Auto)
- Explainer | Ethanol-Blended Fuel in India: Is Your Car Ready for E27? (ETV Bharat)
- India’s ethanol drive expected to use 22% of sugar output by 2034: OECD-FAO report (ChiniMandi)
- Delayed pricing policy for cleaner ethanol keeps India burning food for fuel (Reuters/Japan Times)
- India’s ethanol push: A win-win for energy security and farmers bl-premium-article-image
This is not just about fossil fuels, it is about creating a self-sufficient, prosperous, and greener India, where the same hands that feed the nation, fuel it (The Hindu Business Line) -
Will ethanol-blended fuel ruin your engine? India's ethanol push explained (The Federal; includes VIDEO)
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E20 rollout achieved ahead of schedule; govt eyes higher ethanol blends, SAF adoption: Puri (Economic Times Energy World)
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Not A Single Case Of Engine Failure Or Breakdown Due To Ethanol Blending: Hardeep Puri (Indo-Asian News Service/MENAFN)
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India’s Ethanol Strategy gets Co-op backing; NFCSF endorses E20 Fuel (Indian Co-operative)
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I’ve changed my mind on ethanol blending. It’s a win India can’t afford to slow down (The Print)
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India's ethanol drive imperils its push for edible oil self-sufficiency (Reuters)
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Ethanol blending in petrol won't void your insurance policy, gives better acceleration, doesn't affect mileage: Govt on E20 (Economic Times)
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E20 Petrol does not cause drastic drop in fuel efficiency, even improves engine performance: Petroleum Ministry (Economic Times)
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Oil Ministry rules out price cut for ethanol-blended fuel as procurement cost exceeds petrol (Economic Times)
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What has been the impact of ethanol blending? (The Hindu)
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Ethanol fuel plan cuts imports, worries motorists. What does science say? (The Hindu)
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Ethanol Blended Petrol: What You Need to Know About India’s Green Fuel Push (Times Drive)
Excerpt from ETV Bharat: On July 18, the Union Ministry of Petroleum & Natural Gas stated that an Inter-Ministerial Committee (IMC) has been constituted to recommend future targets. "The IMC is yet to submit its report. Ethanol blending targets to be recommended by the IMC start from ESY 2026-27, i.e. from 1st November 2026," said the Ministry.
Speaking to ETV Bharat, officials privy to the developments, said the Bureau of Indian Standards (BIS) has been directed to develop the standards for E27 fuel as a priority and consultation is expected to occur next week, and the Road Transport and Highways Ministry has instructed the country's leading vehicle testing and certification body, Automotive Research Association of India (ARAI), to undertake studies on how to modify engines for petrol with 27% ethanol blending.
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Having rolled out E10 (10% ethanol in petrol) across the country, and E20 (20% ethanol) to select cities, the government proposes that E27 (27% ethanol) will be incorporated into the supply of petrol used at retail outlets across the country.
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The engineering impacts of more and more ethanol blended into petrol, at higher concentrations, raise the need to re-engineer core engine components. “We’re now developing new engine designs and testing them with higher ethanol blends — 25%, 30%, even up to 35%,” the engineer added. READ MORE
Excerpt from ChiniMandi: In their latest outlook for the global sugar market from 2025 to 2034, the OECD and FAO have projected a slight decline in sugar prices. The two agencies noted that this outlook depends on several factors, including unpredictable weather, Brazil’s continued dominance in sugar exports, and how profitable sugar remains compared to ethanol.
The report highlighted that India’s ethanol production from sugarcane will continue to grow, supported by government policies aimed at diversifying the sugar sector. According to the forecast, India is expected to maintain its position as the third-largest sugar exporter after Brazil and Thailand, contributing about 8% to global exports.
Sugarcane juice and molasses are also used to produce ethanol through a fermentation process. The various sugarcane products and byproducts can be collectively termed as the “Sugarcane Complex” (SCC) and play an important role in the bioenergy sector.
The SCC is closely linked to the energy sector in major sugarcane producing countries like Brazil, India, and Thailand. Brazil’s energy sector has relied on the SCC to produce energy and over the last decade 50% of sugarcane has been used directly in ethanol production. This share is expected to remain stable over the next decade. In Thailand the direct use of sugar cane in biofuels is very limited (below 3%) and is not expected to change
Currently, around 9% of India’s sugar is used to make ethanol. This share is projected to rise to 22% by 2034, the report said.
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India’s sugar sector has seen ups and downs over the past two years. Predictions of record-high production were followed by concerns of a shortfall, leading to restrictions on sugar exports and the introduction of a permit system. A forecast of a good harvest early in the current crushing season contributed to falling global sugar prices, but later concerns about declining output caused a sharp rise in prices in February 2025.
The report noted that while India remains the second-largest sugar producer in the world, the pace of growth in its sugar production will slow slightly over the next decade. This is mainly due to slower growth in sugarcane farming and more cane being used for ethanol. However, India is still expected to record the highest increase in sugar production in Asia—8.7 million tonnes by 2034. Asia as a whole is projected to account for 42% of global sugar output by then, with Thailand adding 3.6 million tonnes and China 2 million tonnes.
India will also lead sugar consumption growth in Asia, followed by Indonesia, Pakistan, and China. In these countries—except China—rising incomes and growing populations are expected to drive demand for packaged foods and beverages.
At the same time, the Indian government has launched a campaign to cut down sugar and edible oil intake to help address rising obesity levels.
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India and Thailand are also likely to boost output through improved crop varieties and better processing methods. The European Union will continue to be the leading producer of sugar made from sugar beet.
However, global sugar production could face obstacles, the report warned, including competition for land from other crops and limited access to plant-protection products, which could make crops more vulnerable to disease. READ MORE
Excerpt from Reuters/Japan Times: India's push for ethanol, mixing crop-based biofuel with petrol to run vehicles, is being stalled by slow progress in making an environmentally cleaner version of the fuel, producers and experts say.
Standing in the way is the government's failure to pay more for cleaner ethanol, which is made from waste but costs more to produce, they say.
Second-generation (2G) ethanol, which uses crop waste instead of valuable food crops, offers a way to cut planet-heating emissions, reduce oil imports and avoid making fuel from food needed for human consumption.
But producers say the government must pay a separate, appropriate price for the more costly 2G ethanol.
"Without a separate pricing policy for 2G ethanol, the economics do not work," said Monish Ahuja, managing director of Punjab Renewable Energy Systems (PRESPL), which supplies farm waste to 2G plants.
Investors will not join in unless they see returns that reflect the higher cost of making the biofuel, Ahuja said. "That's the bottleneck," he said.
The Indian government wants all petrol sold in the country to contain 20% ethanol by October 2025, and has ramped up ethanol production by diverting food crops like sugarcane, maize and surplus rice to make fuel known as first-generation (1G) ethanol.
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The 2G ethanol can be made by breaking down tough plant waste like straw or husk into fermentable sugars using newer technology. It also could help curb stubble burning, a key cause of air pollution in India, in which crop remnants are set ablaze post-harvest.
So far, 2G ethanol makes up very little — some say less than 1% — of India's annual biofuel production, which the government said topped 7 billion liters in October 2024.
The lack of 2G ethanol production is mostly due to a lack of differentiated procurement pricing by the government and higher production costs, experts say.
The Indian government does not make specific figures available on its 2G ethanol production.
The government has considered a separate rate for 2G ethanol, according to minutes of a high-level committee meeting from July 2023.
The price was expected in April 2025, according to reports in Indian media, but no announcement has been made.
To promote the newer fuel, the Indian government launched a national program in 2019, with a budget of 1.97 billion Indian rupees ($227.76 million) to provide financial assistance for setting up commercial and demonstration-scale 2G ethanol plants.
However, of the 12 plants it set out to establish across India, only one demonstration plant is operational.
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Among the challenges in scaling up 2G ethanol production are the costly enzymes, pre-treatment of waste and logistics required by the process, said Y.B. Ramakrishna, senior vice-president of the Indian Federation of Green Energy (IFGE).
India generates hundreds of millions of metric tons of agricultural waste annually, which could fuel hundreds of 2G biofuel plants, experts say.
But the waste needs to be collected, dried, stored and transported from small farms scattered across wide areas, said Ramya Natarajan, a research scientist at the Center for Study of Science, Technology and Policy (CSTEP).
The costs can add up, making financial support and pricing clarity for 2G ethanol critical, experts said.
"At least for the initial three to four years, a higher price is essential," Ramakrishna said.
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Contained in India's ethanol blending policy of 20% ethanol in petrol by the end of 2025, there is no subtarget for 2G ethanol blending to help guarantee production. READ MORE
Excerpt from The Hindu Business Line: India’s transition into a sustainable, self-sufficient tomorrow is being driven by a silent, but deep, revolution: the rapidly accelerating adoption of blending ethanol into petrol. Far from a mere technical adjustment to fuel content, this bold drive is yielding an impressive “win-win” for the country, boosting energy security as it also stimulates prosperity across rural India.
For far too long, India, the globe’s third-largest producer and consumer of energy, has struggled with the economic and strategic weaknesses inherent in overdependence on imported crude oil. The Ethanol Blended Petrol (EBP) Programme has been a strong answer, carefully supported by the National Policy on Biofuels—2018 (revised in 2022). The statistics speak for themselves: India had reached an impressive 20% blending of ethanol in petrol by June 2025, five years ahead of its initial target year of 2030.
While acceleration has merits, deadlines also represent strategic resets. To be precise, Public Sector Oil Marketing Companies (OMCs) achieved a 10 per cent ethanol blending target in petrol in June 2022, five months earlier than expected during ESY 2021-22. This fits well with blending uptake; OMCs blending took off in ESY 2022-23 (12.06 per cent), ESY 2023-24 (14.60 per cent), and now ESY 2024-25 (17.98 per cent as of February 28, 2025). READ MORE
Excerpt from The Federal: Expert's opinion Auto expert Tutu Dhawan shared a balanced view: “There are economic benefits, but also minor performance drops and increased fuel consumption,” he said. Still, the government remains firm. It claims newer vehicles are already E20-compatible, and agencies like ARAI are working on adjustments for even higher blends.
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The content above has been generated using a fine-tuned AI model. READ MORE
Excerpt from Indo-Asian News Service/MENAFN: There has not been a single case of engine failure or breakdown reported since ethanol 20 (E20) became a base fuel over the last 10 months, Hardeep Singh Puri, Minister of Petroleum and Natural Gas, has said.
Citing Brazil's example, he said the country has run on E27 for years without any issues.
Some lobbies with vested interests are actively attempting to create confusion and derail India's ethanol revolution. However, such efforts will not succeed, he added.
The E20 transition is already firmly underway, backed by strong policy support, industry readiness, and public acceptance - and there is no turning back, the minister emphasised on the sidelines of the 'Pioneer Biofuels 360 Summit' here.
Elaborating on the benefits of E20, Puri said it results into reduction in greenhouse gas emissions, improves air quality, enhances engine performance, and has already led to over Rs 1.4 lakh crore in foreign exchange savings.
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He pointed out that 2G ethanol refineries in Panipat and Numaligarh are converting agricultural residues like parali and bamboo into ethanol, providing a win-win solution for clean fuel, pollution control, and farmer income.
He further highlighted the remarkable growth of maize-based ethanol - from 0 per cent in 2021–22 to 42 per cent this year - calling it a transformational shift.
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This success, the minister noted, was made possible through sustained policy reforms such as guaranteed pricing for ethanol, allowing multiple feedstocks, and rapidly expanding distillation capacity across the country.
On the issue of Flex-Fuel Vehicles (FFVs), Puri said that the Indian automobile industry has already demonstrated its capability. Indian OEMs have begun rolling out prototypes for E85-compatible vehicles. READ MORE
Excerpt from Indian Co-operative: The National Federation of Cooperative Sugar Factories (NFCSF) has extended strong support to the Ministry of Petroleum and Natural Gas (MoPNG) following its recent clarification on the safety and reliability of 20% ethanol-blended petrol (E20). The Ministry issued the statement to counter concerns raised in some quarters about the supposed adverse impact of E20 on vehicle performance, particularly older vehicles. These claims, according to MoPNG and supported by NFCSF, are not only unfounded but run contrary to established scientific evidence.
The clarification draws on extensive testing and research carried out both domestically and internationally. Reputable institutions such as the Automotive Research Association of India (ARAI), Indian Institute of Petroleum (IIP), and Indian Oil Corporation’s R&D division have confirmed that E20 is mechanically and materially compatible with a wide variety of vehicles, including those not specifically designed for ethanol-blended fuel. The studies concluded that E20 poses no significant risk to engine durability or fuel efficiency, effectively dispelling lingering doubts.
NFCSF, which represents the cooperative sugar sector, welcomed the Ministry’s clarification as timely and necessary, particularly given the far-reaching implications of the Ethanol Blending Programme (EBP) for India’s economy, environment, and rural livelihoods. Over the past decade, the EBP has emerged as a transformational initiative, delivering broad-based gains across multiple sectors.
From an environmental perspective, the programme has been instrumental in helping India reduce its carbon footprint. Ethanol blending has already resulted in a reduction of over 700 lakh tonnes of carbon dioxide emissions. This aligns closely with India’s commitment to the Paris Agreement and its long-term climate goals. The use of biofuels like ethanol provides a sustainable path toward cleaner energy and pollution mitigation in urban centers.
The programme also marks a major step forward in securing the country’s energy future. With crude oil imports historically accounting for a large share of India’s foreign exchange outflow, the introduction of E20 has helped curtail this dependence significantly. According to official estimates, the shift to ethanol-blended petrol has saved India more than Rs 1.2 lakh crore in foreign exchange since 2014–15.
Perhaps the most profound impact of the EBP has been felt in India’s rural economy, particularly among sugarcane farmers. Ethanol production has facilitated timely payments to growers, amounting to over Rs 1.04 lakh crore, boosting rural incomes and financial stability. For a sector often plagued by payment delays and fluctuating sugar prices, ethanol has emerged as a reliable economic buffer. It has also reduced the sugar industry’s reliance on government subsidies, making it more financially sustainable in the long run.
The NFCSF highlighted that ethanol production has not only supported farmer welfare but also spurred a rural bio-economy, fostering new opportunities in energy production, transport, and ancillary services. Ethanol, as a renewable fuel derived from locally grown biomass, fits squarely into India’s strategy for energy self-reliance and economic inclusivity.
The cooperative sugar sector, which is integral to ethanol production in India, has reaffirmed its commitment to the national ethanol roadmap. NFCSF emphasized that it will continue to expand production capacity to meet the growing demand for E20 and beyond. This commitment is part of a larger push to integrate cooperative institutions into the national mission of clean energy transition and sustainable development.
As the debate around alternative fuels continues to evolve, NFCSF’s endorsement of the Ministry’s stance sends a clear message: ethanol is not a compromise but a scientifically supported, economically sensible, and environmentally responsible choice. With the cooperative sector backing the ethanol vision, India’s journey toward a greener and more self-reliant energy future appears well on track. READ MORE
Excerpt from The Print: A senior auto industry executive told me (Kushan Mitra) the ideal scenario for India would be a 'baseline' of E20 petrol, with consumers free to choose higher or lower blends
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However, many social media users have raised concerns about ethanol blending, including reduced fuel economy and potential engine damage. In a post on X, the Ministry of Petroleum and Natural Gas shared a 2022 column of mine on the subject for context.
I will admit that my views on ethanol blending have evolved over the past three years. While I still believe certain issues need to be addressed—such as pricing and availability—overall, ethanol blending and even Compressed Biogas (CBG) are essential for India’s energy security, especially since we still import over 85 percent of our crude oil and just under 60 percent of our natural gas requirements.
Anti-ethanol arguments ‘rubbish’
A couple of days ago, I shared a stage with Puri and interacted with multiple stakeholders in the ethanol ecosystem, including automakers, distillers, and think-tank experts, at an event marking World Biofuels Day. One long-standing criticism of ethanol is that it comes from water-intensive crops such as sugarcane. Puri, who once served as India’s ambassador to Brazil—the pioneer in ethanol blending—pointed out that this is not a problem for Brazil because it has a vast land area and over 22 percent of the world’s freshwater resources.
“But the fact is,” Puri told me, “that as ethanol production has grown in India, most ethanol now comes not from sugarcane juice but from by-products of sugarcane processing such as B-heavy and C-heavy molasses. In addition, we use broken, damaged, and surplus foodgrain.” The minister added that second-generation ethanol production from products like bamboo is already taking place in Assam, and new start-ups are exploring ways to convert seaweed into ethanol.
“So, the arguments around food security and water wastage are utterly rubbish. Also, we were producing surplus foodgrain and using Indian taxpayer money to subsidise exports of products like sugar. That is not happening now. A bulk of the savings from reduced crude oil imports is now being transferred to Indian farmers, who have gone from being annadatas to urjadatas.”
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Most carmakers are clear that all cars sold in India, including imported luxury and performance models, are tuned to accept E20 fuel. The loss in fuel efficiency, despite ethanol’s lower energy density compared to petrol, is around 1–2 percent, as backed by a 2021 NITI Aayog expert committee report. However, older vehicles—especially those sold before ethanol blending gained momentum under the Narendra Modi government—may see a 5–7 percent drop in efficiency and potentially corrosive damage to plastic and rubber parts. Puri said these concerns are overstated and often the result of lobbying.
While Puri did not say the government plans to increase ethanol blending beyond E20 at petrol pumps, he noted that pure ethanol (E100) is now available at 400 petrol stations across the country (out of around 88,000). However, most modern petrol-tuned vehicles cannot run on blends higher than E20 without significant modifications to become “flex-fuel” vehicles, as in Brazil, where cars can operate on a wide range of blends. The Petroleum Ministry is subtly promoting the idea of India’s energy independence through biofuels, and as more E20-capable cars enter the fleet and older vehicles are scrapped, ethanol blending issues will gradually dissipate.
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The government’s big push now is for Compressed Biogas (CBG), which will be blended into Compressed Natural Gas (CNG). Unlike ethanol, CBG and CNG are chemically identical. The target is for CBG to make up 4 percent of CNG by 2030.
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In fact, according to a presentation by Maruti Suzuki, CBG—if properly accounted for—actually removes carbon from the atmosphere, since rotting biomass would otherwise release methane, a deadlier greenhouse gas than carbon dioxide. Capturing and burning it as vehicle fuel is a win-win, although Dhawan acknowledged there are still scalability issues and questions about how to handle the by-products. Maruti Suzuki is working with the National Dairy Development Board (NDDB) to find solutions, and CBG is likely to make headlines in the coming months.
The biofuels story doesn’t end there. Puri also revealed that the IndianOil refinery in Panipat can now process used cooking oil to produce Sustainable Aviation Fuel (SAF). READ MORE
Excerpt from Reuters:
- India diverts rice, corn to achieve ethanol blending targets
- Grain-based ethanol-making yields protein-rich byproduct DDGS
- Cheaper DDGS replaces oilmeals, reducing oilseed prices
- Oilseed price drop prompts farmers to shift to other crops
- Lower oilseed output to lift India's edible oil imports
India's drive to produce more ethanol is leading its farmers to switch away from growing oilseeds, undermining government efforts in the world's largest buyer of cooking oils to reduce costly imports.
Helped by record corn and rice harvests, New Delhi is using more of the grains to make ethanol and meet its target of blending 20% of the biofuel additive with gasoline. The process, however, produces Distillers Dried Grains with Solubles (DDGS), a protein-rich byproduct that is flooding the animal feed market.
The DDGS glut is weakening demand for oilmeals, depressing oilseed prices and prompting farmers in the South Asian nation to plant more corn and rice in place of soybeans and groundnuts - despite New Delhi's push to grow more of the oilseeds to ease imports.
DDGS production in India has soared some 13-fold over the past two years to an estimated 5.5 million tons by 2025, according to industry officials.
"DDGS is a pain in the neck," said Aashish Acharya, vice president at Patanjali Foods Ltd (PAFO.NS), opens new tab, a leading soybean processor. "Feed makers are substituting oilmeals with DDGS since it is cheaper."
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The shift is visible in government sowing data. As of August 8, oilseed acreage - including soybean and groundnut - was down 4% from last year, while corn area jumped 10.5% to a record high.
Madhukar Londhe, a farmer in Nashik in the western state of Maharashtra, said he had cut his soybean area to one acre from six, planting the rest with corn - which has the added benefit of providing fodder from its stalks for his five milking cows.
Nearly two dozen farmers in the area that Reuters spoke to said they had made a similar switch.
"Soybean prices were too low, so I couldn't even cover my costs in the past two years. Corn did better for me last year, so I've decided to grow more of it," Londhe said.
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India, the No. 3 importer and consumer of crude, recently hit its goal of lifting ethanol blending in gasoline to 20%. Two years ago, before India began using corn and rice on a large scale due to short supply of its main ethanol feedstock sugarcane, its blending rate was just 12%.
Even before rising ethanol production began to create excess DDGS, India struggled with surplus oilmeals. Per capita demand for animal feed is much lower than the global average as a significant portion of its 1.4 billion population is vegetarian for religious and cultural reasons and most meat-eaters do so only occasionally.
That led India to export surplus oilmeals to countries such as South Korea, Vietnam, Thailand, and Bangladesh.
However, oilmeal exports got tougher every year as prices rose in order to support oilseed farmers. This year, some countries that import Indian meal have committed to buying more from the U.S., meaning they will buy less from India, said a Mumbai-based dealer with a global trading house.
Ajay Jhunjhunwala, an oil miller in Lucknow in northern India, estimates that of this year's DDGS output, only around half will be consumed domestically. READ MORE
Excerpt from Economic Times: The Ministry of Petroleum and Natural Gas asserts that E20 fuel enhances acceleration and reduces carbon emissions by approximately 30% compared to E10, with minimal impact on mileage. Dismissing concerns about insurance validity, the ministry highlights the program's benefits, including reduced crude oil imports, increased farmer incomes, and significant CO₂ emission reductions.
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Insurance validity unchanged
The ministry rejected suggestions that using E20 fuel could lead to insurance claims being denied. “This fear mongering is totally baseless and has been clarified by an insurance company whose tweet screenshot was deliberately misinterpreted to create fear and confusion. Usage of E20 fuel has no impact of the validity of insurance of vehicles in India,” it said.
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Ethanol blending as a transition fuel
The ministry said biofuels and natural gas are “India’s bridge fuels” and part of the country’s commitment to achieve net zero emissions by 2070. A NITI Aayog study found that greenhouse gas emissions from sugarcane-based ethanol are 65% lower than petrol, while maize-based ethanol reduces emissions by 50%.
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The ministry highlighted ethanol’s higher octane number of about 108.5 versus petrol’s 84.4, adding that vehicles tuned for E20 “deliver better acceleration which is a very important factor in city driving conditions.” The claim that E20 drastically reduces fuel efficiency was rejected, with officials noting that mileage depends on multiple factors, including driving habits, maintenance, and tyre condition.E20 meets BIS specifications and automotive industry standards. For older vehicles, some rubber parts and gaskets may need earlier replacement, which the ministry described as inexpensive and manageable during routine servicing.
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Pricing and consumer concerns
The ministry said ethanol was cheaper than petrol when a 2020-21 NITI Aayog report was prepared, but procurement prices have since risen. The current average ethanol cost for 2024-25 is ₹71.32 per litre, higher than refined petrol, yet the government continues blending to support energy security, farmers’ incomes, and environmental goals. READ MORE
Excerpt from Autocar India: Will the government increase the blend of ethanol in petrol?
Yes, having achieved the E20 target five years ahead of schedule, the government is exploring options of increasing the ethanol blend to 30 percent in the next five years. The Ministry of Petroleum and Natural Gas has given a go-ahead, and the government is evaluating whether to implement this in a phased or a unified manner.
An E20 engine can manage E30 with calibration changes.
Any engine designed to run on E20 is already material compliant up to E30, but it will require tuning changes to manage the fuel. This is quite complicated, though, as other parameters like emission norms also need to be factored in.
Significant hardware changes are required above E30.
Going above E30 requires further reengineering, and a car is generally considered to be a flex-fuel vehicle; that is, it can handle any percentage of petrol-ethanol mix or even up to 100 percent ethanol. Going above E30 requires ethanol content sensors for real-time monitoring of ethanol concentration; fuel rail and injector heaters can also be required for cold starts, as higher percentages of ethanol can lead to cold-starting issues. Even at E20, sub-zero temperatures can cause some cold-starting problems. READ MORE
Excerpt from The Hindu: How are petrol vehicle owners reacting to the E20 mandate? How environmentally friendly is India’s dependence on sugarcane for ethanol? How has the U.S. reacted to India’s booming ethanol economy? Why has the adoption of EVs in India been much slower compared to other large economies?
The story so far:
E20 petrol, which contains 20% ethanol and is being sold by Indian oil refiners, has been much in the news lately. India has achieved its target to blend 20% ethanol per litre of fuel five years ahead of the target under the National Policy on Biofuels. Ethanol blending in India rose from just 1.5% in 2014 to 20% in 2025, backed by the government’s strong fiscal incentives to the sugarcane industry. While the government says ethanol blending achieves a range of goals such as cutting greenhouse gas emissions, bolstering farmers’ incomes and reducing India’s oil import bill, its benefits to the environment require closer scrutiny. READ MORE
Excerpt from The Hindu: The government’s ethanol push echoes global experiments in balancing energy security and sustainability. But unlike Brazil’s decades-long rollout, India’s more rapid move leaves drivers grappling with practical issues of mileage, corrosion, and higher service costs
While vehicles modified to be compatible with the new composition started rolling out in April 2025, the government’s push for 20% ethanol-blended petrol (E20) has left vehicle-owners worried about the impact on their older vehicles and about a surge in maintenance costs. READ MORE
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