
Union Road Transport and Highways Minister Nitin Gadkari has directly addressed growing concerns about E20 petrol's impact on vehicle mileage and engine safety in an exclusive interaction with The Times of India. According to Gadkari, there is no evidence that E20 fuel damages vehicle engines, dismissing allegations as 'misinformation' and stating that the government has not received any complaints related to engine damage caused by the fuel. The minister noted that ethanol's lower calorific value can affect mileage in some situations, particularly during highway driving, but emphasized that in city traffic where vehicles spend much of their time in lower gears, the mileage difference between petrol and E20 is minimal. Gadkari also addressed complaints about lower fuel efficiency, stating that motorists should not rely on their own calculations to judge a vehicle's mileage and should instead use company-authorised dealer's machines for accurate assessments. 'E20 fuel was launched after being properly tested. As for mileage, in city traffic in Delhi or Mumbai, you will not see any major change; there may be some loss when you are driving at high speed on the Delhi-Mumbai Expressway,' Gadkari explained.
The Centre on July 10 definitively ruled out offering pure petrol or E10 alongside E20 at retail outlets, citing higher handling costs and reduced operational efficiency. According to the government, India operates over one lakh retail outlets, supported by an extensive network of refineries, terminals, depots and pipelines. Maintaining multiple grades of base petrol across this vast supply chain would create 'an enormous logistical challenge, increase handling costs, complicate inventory management and reduce operational efficiency'. The government acknowledged that E20 fuel delivers 3-5% lower mileage than conventional petrol but emphasized that the blend offers significantly higher octane rating, superior anti-knock properties, faster combustion, better pickup, smoother acceleration, and cleaner engine operation. The ministry has also dismissed comparisons to premium fuel variants, arguing that those are niche, limited-quantity products with performance additives rather than separate nationwide base fuel streams. When asked about E10 petrol availability, Gadkari said 'How is it possible when we have achieved 20% ethanol blending, and E20 fuel is available at every fuel station in the country?'
While defending the government's ethanol blending programme, Union Road Transport and Highways Minister Nitin Gadkari highlighted the potential for ethanol production from agricultural waste and spoiled fruits and vegetables as India seeks to strengthen its energy self-reliance. In an interview with CNN-News18, Gadkari said the recent tensions in West Asia have reinforced the need for India to reduce its dependence on imported fossil fuels, arguing that energy security is critical for both the economy and national interests. The minister emphasized that ethanol can be produced from a wide range of non-food sources, including agricultural waste and even rotting produce, as part of India's strategy to boost energy security and cut fuel imports. This development represents a significant expansion of India's ethanol production capabilities beyond traditional feedstocks.
The Centre on Friday mounted a strong defence of its ethanol-blended petrol (E20) programme, with Minister Nitin Gadkari directly addressing criticism in an interview with The Times of India. 'The campaign is politically motivated. Certain people are targeting me and the government. There is also misinformation about E20 fuel damaging engines. All E10-compliant vehicles are fit for using E20 fuel,' Gadkari stated. The minister reiterated that no vehicle owner had reported engine-related issues linked to E20 fuel despite repeated public discussions on the subject. 'Maruti Suzuki has publicly stated so. Auto manufacturers offer guarantees on vehicles. There are people in your office who are using two-wheelers and petrol cars. How many have faced a problem? A few days ago, I had asked people to write to my ministry in case they were facing any problems with their vehicles. There has been no complaint so far,' he explained. Gadkari also addressed the availability of alternative fuel options, stating that 'At some petrol pumps people have the option to buy E85 (85% ethanol blended petrol) for use in flex fuel vehicles (FFVs). Over half a dozen vehicle manufacturers are ready to launch such vehicles. E85 costs less than E20. So, people have a choice.'
The government has revealed that vehicle manufacturers were involved from the beginning of the ethanol blending programme, with consultations beginning as early as 2020-21 for E10 compatibility. According to the ministry, India achieved its E10 target (10% ethanol blending in petrol) in June 2022, five months ahead of the date in ESY 2020-21. For E20, an even more rigorous process was followed with extensive consultations held with automobile manufacturers, component suppliers, testing agencies and research institutions. The ministry stated that the roadmap of the IMC had been in the public domain from 2021 and laid out a calibrated path to reaching E-20. Every important aspect was examined before the rollout, including material compatibility, engine calibration, fuel systems, drivability, durability, emissions and fuel efficiency. In a detailed question-and-answer document issued to counter criticism, the ministry emphasized that E20 was a 'cleaner, higher-quality and more efficient fuel' than E10 or pure petrol and had been rolled out only after years of scientific testing.
The government purchases ethanol at ₹71.86 per litre before accounting for GST, transportation, storage and depot handling costs, as reported by the Ministry of Petroleum and Natural Gas. Currently, maize-based ethanol is procured at this remunerative price to fairly compensate Indian farmers. According to the ministry, when international crude oil trades at around $70 per barrel, producing E20 is actually more expensive than producing petrol without ethanol. However, the economics change when crude prices rise sharply, with the ministry stating that if crude rises to US$120-130 per barrel, the economics naturally reverse and ethanol becomes even cheaper. The ministry has also defended the policy by pointing to ₹1.97 trillion annually in investments made by public sector banks in ethanol production and related infrastructure, including dedicated ethanol plants, distilleries, storage facilities and logistics networks. The ministry revealed that the Ethanol Blended Petrol Programme has already saved more than ₹1.97 trillion in foreign exchange, substituted nearly 316 lakh metric tonnes of crude oil, reduced around 952 lakh metric tonnes of carbon dioxide emissions and transferred more than ₹1.66 trillion directly to farmers since the 2014-15 ethanol supply year. The ministry said the programme helps reduce exposure to global crude oil price volatility because about one-fifth of every litre of petrol sold is produced domestically.
Rejecting suggestions that India had rushed into higher ethanol blending, the ministry said the programme had evolved through a series of policy measures beginning with pilot projects in 2001, formal rollout of E5 in 2006, the biofuels policy in 2018 and investments in dedicated ethanol plants from 2021. According to the ministry, blending remained around 1.5% until 2014 because India depended almost entirely on sugarcane, a seasonal crop, for ethanol production. Policy changes introduced from 2018 onwards expanded the range of feedstocks and increased processing capacity through coordination across several ministries, helping ethanol blending rise from about 8.1% in 2020-21 to 20% in the current ethanol supply year. The ministry argued that reversing the policy would put substantial investments at risk and affect farmers, cooperatives, entrepreneurs, financial institutions and public sector companies that invested based on the country's ethanol roadmap. Drawing an unusual analogy, it said, 'Would anyone today ask us to bring back the old blue DTC buses instead of modern public transport? Would anyone argue that we should return to pothole-ridden roads because they were familiar?' It added that progress means embracing better technology, emphasizing that once a superior fuel has been scientifically validated, extensively tested and accepted by the automotive industry, the objective should be to move forward with confidence, not to retreat to an inferior standard. The government has repeatedly maintained that the ethanol blending programme is backed by scientific studies and extensive testing, with studies by the Automotive Research Association of India (ARAI), Indian Oil Corporation and the Society of Indian Automobile Manufacturers (SIAM) finding no significant engine durability or performance issues with E20-compatible vehicles.