'No engine damage but mileage drops': Carmakers asked to send out ‘safe E20’ message

The Indian government has informed the Supreme Court that its 20 percent ethanol blending program in petrol remains an ongoing experiment, with results expected to emerge by next year. This statement comes amidst growing public concern, particularly among automobile enthusiasts and users of older vehicles, who fear that the increased ethanol content in fuel may cause mechanical damage and reduce fuel efficiency.

The government has attempted to reassure critics by emphasizing that there is currently no concrete evidence linking E20 petrol—fuel blended with 20 percent ethanol—to any form of mechanical damage. Officials argue that the policy offers significant benefits for India’s energy security, supports farmers, and contributes positively to environmental sustainability. These points were highlighted during a recent Supreme Court hearing, where the Attorney General, R Venkataramani, defended the government’s stance on the ethanol blending initiative.

The discussion arose in response to a petition filed by Bharat Petroleum Corporation Limited (BPCL), which challenged a Karnataka High Court order concerning ethanol allocation for the 2025-26 supply year. BPCL expressed concerns that the order could undermine the government’s broader goal of achieving 20 percent ethanol blending in petrol. During the hearing, the Supreme Court questioned why BPCL had not approached the division bench of the Karnataka High Court regarding the order. In response, the Attorney General explained that ethanol supply contracts had already been finalized in October 2025, and similar petitions were pending before multiple high courts. He emphasized the need for a swift resolution to avoid delays that could impact the national policy on ethanol blending.

The Attorney General further requested permission to file a transfer petition, stating that the matter required urgent attention before October, when ethanol supply contracts would be up for renewal. He warned that proceeding through multiple judicial benches could lead to unnecessary delays. Following the hearing, the Attorney General clarified to India Today that the 20 percent ethanol blend is a firm policy decision unlikely to change. However, the amount of ethanol made available to companies may vary depending on demand and other factors.

India achieved its target of blending 20 percent ethanol in petrol last year, five years ahead of schedule. Since April 1, oil marketing companies have begun supplying ethanol-blended petrol nationwide. The government has now set a new target of increasing ethanol blending in petrol to 30 percent by 2030. This announcement followed a recent statement from the Union Oil Ministry, which reaffirmed that the ethanol blending program is safe, consumer-friendly, and economically beneficial. The ministry dismissed concerns that E20 fuel could invalidate vehicle insurance policies, asserting that such claims had been thoroughly examined and found to be incorrect.

The ministry emphasized that ethanol blending is a globally accepted practice, successfully implemented in countries such as the United States, Brazil, and Japan. It noted that the program has helped India save over Rs 1.4 lakh crore in foreign exchange by reducing crude oil imports. Furthermore, the ministry stated that ethanol blending enhances India’s energy security, reduces carbon emissions, and advances the nation’s transition toward cleaner mobility. It reiterated that the program would continue to be implemented in a safe, transparent, and consumer-centric manner, guided by scientific evidence and stakeholder consultations.

Vehicle manufacturers have also weighed in on the ethanol blending controversy, acknowledging that while there is no evidence of engine damage, there is a slight reduction in fuel efficiency—approximately 3 to 3.5 percent—for pre-2023 vehicles. This decrease is attributed to the lower calorific value of E20 petrol. To address public concerns, the government has reached out to vehicle manufacturers and oil marketing companies to counter misinformation circulating on social media. Representatives from major automakers such as Maruti Suzuki India, Toyota Kirloskar, Bajaj Auto, and others have assured the public that there are no issues with using E20 fuel in existing vehicles. They have also advocated for the introduction of flex fuel vehicles (FFVs) to provide greater flexibility and compatibility with varying ethanol blends.

The government and industry stakeholders are engaged in discussions aimed at developing a long-term strategy for ethanol blending, ensuring that it aligns with both environmental goals and consumer needs. As the program continues to evolve, the focus remains on balancing the benefits of reduced fossil fuel dependence with the practical considerations of vehicle compatibility and user satisfaction.