logo
Explained: Why govt is defending E20 petrol — and what the numbers show

Explained: Why govt is defending E20 petrol — and what the numbers show

Time of India17 hours ago
New Delhi: India's 20per cent ethanol-blended petrol (E20) has saved more than ₹1.44 lakh crore in foreign exchange, cut carbon dioxide emissions equal to planting 30 crore trees, and paid farmers tens of thousands of crores in the past year alone, according to the petroleum ministry's latest statement.
On August 4, the ministry issued a detailed response to concerns over E20's impact on mileage, vehicle performance, and costs, saying fears were misplaced and backed its case with data and global comparisons.
The savings and the scale
Since Ethanol Supply Year 2014-15, public sector oil marketing companies have blended ethanol into petrol, replacing about 245 lakh metric tonnes of crude oil. The ministry says this has saved ₹1,44,087 crore in foreign exchange and reduced CO₂ emissions by 736 lakh metric tonnes — equivalent to planting 30 crore trees.
For 2025 alone, with 20per cent blending, payments to farmers are expected to be ₹40,000 crore, and forex savings around ₹43,000 crore.
Cleaner fuel, more farm income
A NITI Aayog study cited by the ministry shows ethanol from sugarcane emits 65per cent less greenhouse gases than petrol, while maize-based ethanol emits 50per cent less.The programme, the ministry says, has also cleared sugarcane arrears, boosted maize cultivation, and channelled crude import money to farmers — 'Urjadaatas' as well as 'Annadatas'.
The mileage question
Concerns about E20's effect on fuel efficiency were flagged in 2020 and studied by an inter-ministerial panel of NITI Aayog, with research support from IOCL, ARAI and SIAM.The ministry says E20 delivers about 30per cent lower carbon emissions than E10, better acceleration in E20-tuned vehicles, and a higher octane number (~108.5 versus petrol's 84.4), which is suited for high-compression engines.
On claims of 'drastic' mileage loss, it points to other factors — driving habits, maintenance, tyre pressure and AC use. For some manufacturers, E20 compatibility dates back to 2009, and efficiency drops in E10 vehicles have been marginal.
Lessons from Brazil and older vehicles
Brazil runs on E27 fuel with no reported issues, including in cars from global automakers selling in India. E20 meets Indian and global safety and performance standards, the ministry says.For certain older vehicles, some rubber parts or gaskets may wear faster with E20, but these can be replaced during routine servicing — typically once in the vehicle's lifetime.
Why E20 isn't cheaper now
When NITI Aayog prepared its report in 2020-21, ethanol cost less than petrol. But procurement prices have since risen — the current average is ₹71.32 per litre, higher than refined petrol. Despite this, blending has continued because of its role in energy security, farm incomes and emissions cuts.
Insurance and the road ahead
The ministry called 'totally baseless' the claim that E20 voids vehicle insurance, saying a social media post was misinterpreted. Insurance coverage, it stressed, is unaffected by E20 use.
The current roadmap keeps E20 in place till October 31, 2026. Moving beyond will require consultations with automakers, ethanol producers, oil companies and researchers, and a formal decision by the government.>
Orange background

Try Our AI Features

Explore what Daily8 AI can do for you:

Comments

No comments yet...

Related Articles

NITI Aayog meet calls for reforms to boost India's R&D ecosystem
NITI Aayog meet calls for reforms to boost India's R&D ecosystem

Indian Express

time33 minutes ago

  • Indian Express

NITI Aayog meet calls for reforms to boost India's R&D ecosystem

Removing bureaucratic and procurement bottlenecks through AI-enabled systems, pre-approved vendor lists, and digitised approvals, and establishing a centralised funding database were among the key recommendations made at the fifth regional consultative meet on 'Ease of Doing Research and Development (R&D)'. The meet, jointly initiated by NITI Aayog and hosted by the Gujarat Council on Science and Technology (GUJCOST), concluded on Wednesday at Science City, Ahmedabad, with a renewed vision to make India a globally competitive hub for research and innovation. The two-day deliberation, held on August 12 and 13 brought together over 110 eminent leaders from Gujarat, Maharashtra, Madhya Pradesh, and Rajasthan. Participants shared insights and actionable recommendations to simplify administrative processes, accelerate translational research, strengthen institutional competitiveness, and enhance access to knowledge resources. Prof Vivek Kumar Singh, Senior Adviser, NITI Aayog, opened the discussions by stressing upon 'the urgent need for structural reforms, agile regulatory systems, and collaborative models to unlock India's R&D potential'. 'Scientific advancement demands not only investments but also an ecosystem that is agile, transparent, and enabling,' he said. Delivering the valedictory address, Dr V K Saraswat, Member (S&T), NITI Aayog, urged stakeholders to transform Indian research institutions into globally benchmarked centres of excellence. He called for 'simplification of compliance procedures, institutional benchmarking, and stronger academia–industry linkages to drive high-impact and self-reliant research'.

Teachers, Powercom employees stage separate protests in Mohali
Teachers, Powercom employees stage separate protests in Mohali

Time of India

timean hour ago

  • Time of India

Teachers, Powercom employees stage separate protests in Mohali

1 2 Mohali: The city witnessed two major demonstrations on Wednesday as vocational teachers under the National Skills Qualifications Framework (NSQF) and Powercom employees staged protests to press for their long-standing demands. Outside the Punjab School Education Board office, NSQF vocational teachers held a strong protest demanding better pay and job security. Rupinder Singh, district president (Mohali), said 2,633 NSQF teachers have been imparting vocational education to students of Classes IX to XII in government senior secondary schools for over 11 years under the Samagra Shiksha 60:40 programme. "Despite our dedicated service, we face exploitation by outsourcing companies and receive only about ₹18,000 per month after arbitrary deductions," he said. State president Ranjit Singh Barnala demanded that salaries be raised to Rs 35,075 per month on the lines of Haryana, outsourcing companies be removed from government schools, and the services of NSQF teachers be regularised, similar to contractual employees in PSPCL. Meanwhile, at the Mohali Circle office, Powercom employees under various unions — including the Technical Services Union (TSYU), Federation ATC, Association of Junior Engineers, Pensioner Association, and Pensioner Union — continued their collective leave strike, now extended till Aug 15. by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like Diversify your portfolio with Edelweiss NFO Edelweiss Mutual Fund AMC Undo The agitation, which began on Aug 11, targets the Powercom management and Punjab government for failing to resolve long-pending issues. Protesters demanded the repeal of privatisation policies, release of arrears for revised pay scales from Jan 1, 2016, clearance of pending dearness allowance, recruitment drives, regularisation of temporary workers, restoration of the old pension scheme, repeal of the Electricity Act 2022, and timely promotions for sub-station employees. Ranjit Singh Dhillon, state president of the Association of Junior Engineers, warned that the agitation would intensify if the demands remained unmet. Stay updated with the latest local news from your city on Times of India (TOI). Check upcoming bank holidays , public holidays , and current gold rates and silver prices in your area.

Ludhiana PF office holds awareness seminar on PM Viksit Bharat Rozgar Yojana.
Ludhiana PF office holds awareness seminar on PM Viksit Bharat Rozgar Yojana.

Time of India

time2 hours ago

  • Time of India

Ludhiana PF office holds awareness seminar on PM Viksit Bharat Rozgar Yojana.

Ludhiana: The newly launched Pradhan Mantri Viksit Bharat Rozgar Yojana (PM-VBRY) offers a compelling benefit of up to Rs15,000 to first-time employees in their first year, split into two instalments, creating an incentive for formal job entry and retention. Tired of too many ads? go ad free now During the awareness seminar held at the provident fund (PF) office on Wednesday, regional provident fund commissioner-I Saurabh Swami spoke about the benefits of the scheme. He said he would make sure that the staff was available for resolution of any problems and address all queries at the office in Ludhiana. Under part-A of the scheme, first-time employees registered with EPFO earning up to Rs1 lakh per month will receive a one-month EPF wage, capped at Rs15,000, disbursed in two instalments. The first after six months of continuous employment, and the second after 12 months. It would also require completion of a government-mandated financial literacy programme. In addition to empowering employees financially, the scheme strengthens job stability. When workers see that formal employment comes with tangible benefits, it encourages them to stay longer, improving retention and reducing turnover, officials at the seminar stated. They said that for first-time workers receiving Rs15,000 from the government, even before tax deductions, makes formal jobs significantly more attractive. It smooths their entry into the system and gives them the security to plan ahead. The officials also outlined hiring incentives for employees as well. The PM-VBRY officially began on August 1, 2025 and will continue till July 31, 2027. With a budget of Rs 99,446 crore, the scheme aims to generate 3.5 crore new jobs, of which an estimated 1.92 crore are expected to benefit first-time job seekers, officials stated. Tired of too many ads? go ad free now The seminar, attended by a number of industry and employee representatives, was designed to break down the process. By combining direct support for employees with hiring incentives for employers, PM-VBRY is designed to create a mutually beneficial cycle, motivating industries to recruit more and giving workers the assurance that their jobs come with social security, career growth opportunities, and financial protection, the officials said.

DOWNLOAD THE APP

Get Started Now: Download the App

Ready to dive into a world of global content with local flavor? Download Daily8 app today from your preferred app store and start exploring.
app-storeplay-store