
Better Acceleration, Ride Quality, Farm Income: Centre Addresses Concerns Over E20 Petrol
The Ministry of Petroleum and Natural Gas (MoPNG) on Tuesday issued a detailed response addressing concerns raised on the impact of 20% Ethanol Blended Petrol (E-20) on mileage and vehicle life, particularly in older vehicles and customer experience.
The ministry backed the usage of E20 petrol, saying that the move will not only help reduce pollution and save money on oil imports, but also will lead to better acceleration and even ride quality.
While dismissing the claims that mileage was significantly hit because of E20 petrol, the MoPNG asserted that its use gives 'better acceleration, better ride quality and lowered carbon emissions by approximately 30 percent as compared to E10 fuel".
'The use of E-20 gives better acceleration, better ride quality and most importantly, lowered carbon emissions by approximately 30% as compared to E10 fuel. Ethanol's higher-octane number (approximately 108.5 compared to petrol's 84.4) makes Ethanol-blended fuels a valuable alternative for higher-octane requirements that is crucial for modern high-compression engines," the statement said.
Terming claims of reduction in fuel efficiency 'misplaced", the ministry said, 'Vehicle mileage is influenced by a variety of factors beyond fuel type. These include driving habits, maintenance practices such as oil changes and air filter cleanliness, tyre pressure and alignment, and even air conditioning load."
'Concerns related to performance and mileage being raised now were anticipated as early as 2020 by the Government and an Inter Ministerial Committee (IMC) of the NITI Aayog examined them at length. This was also backed by research studies carried out by IOCL, ARAI and SIAM," the statement mentioned.
'Extensive discussions have been carried out with the Society of Indian Automobile Manufacturers (SIAM) as well as prominent manufacturers of vehicles. The efficiency drop (if any) in E10 vehicles has been marginal. For some manufacturers, vehicles have been E20 compatible from as far back as 2009. The question of any drop in fuel efficiency in such vehicles does not arise," it added.
In the detailed statement, the government further said that moving to E20 fuel is part of India's commitment to meeting its climate goals and achieving net zero emissions by 2070.
'A study on life cycle emissions of Ethanol done by NITI Aayog has said that GHG (greenhouse gas) emissions in the case of use of sugarcane and maize-based ethanol are less by 65% and 50%, respectively than those of petrol," the ministry said.
The statement further highlighted how the rural economy has witnessed benefits due to the shift to E20 fuel, which the ministry claimed has increased the farmers' incomes, thereby helping curb suicides.
'More income to farmers has not only contributed to furthering their well-being but has also helped decisively tackle the challenge of suicides by farmers. It may be recalled that in areas like Vidarbha, farmer suicides were widespread a few years ago," it added.
The ministry cited the example of Brazil, saying that it has been using E27 (fuel with 27 percent ethanol) for several years and has not faced any issues. It also said that many of the manufacturers, whose cars are bought and sold in India, including Toyota, Honda, and Hyundai, sell vehicles in Brazil as well.
On the issue of increased wear and tear, the statement said, 'In most parameters, including drivability, startability, metal compatibility, plastic compatibility, there are no issues. Only in case of certain older vehicles, some rubber parts and gaskets may require replacement earlier than in the case non non-blended fuel. This replacement is inexpensive and can be easily managed during routine servicing. It may need to be done once in the lifetime of the vehicle and is a simple process to be carried out at any authorised workshop."
The Centre also addressed another concern that this fuel should be sold at a cheaper price as compared to regular fuel. The ministry said that the 'weighted average price" of ethanol is now higher than the cost of refined petrol.
'Despite the increase in price of ethanol in comparison to petrol, the oil companies have not gone back on the ethanol blending mandate because the programme delivers on energy security, boosts farmers' incomes and environmental sustainability," it said.
The ministry further assured that the insurance claims will not be impacted by the E20 switch. It further responded to apprehensions about a rapid switch to fuels consisting higher ethanol levels, saying that the process requires extensive consultation.
'…the current roadmap commits the government to E-20 up to 31.10.2026. Decisions for beyond 31.10.2026 will involve submission of the Report of the Inter Ministerial Committee, evaluation of its recommendations, stakeholder consultations and a considered decision of the government in this regard. That decision is yet to be taken," it said.
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First Published:
August 12, 2025, 19:52 IST
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