India plans multiple ethanol-blended petrol options at fuel stations

Petrol pumps in India may soon offer a wider choice of ethanol-blended petrol to the vehicle owners. As the government is aiming to roll out a higher ethanol blend for petrol in India, the petrol pumps in the country may soon offer multiple ethanol-blended variants of petrol, which the customers can choose depending on their vehicle compatibility.

Mint has reported that the government has advised the state-run oil marketing companies like Indian Oil Corp. Ltd (IOCL), Bharat Petroleum Corp. Ltd (BPCL) and Hindustan Petroleum Corp. Ltd (HPCL), as well as privately owned Jio-bp Mobility, Nayara Energy and Shell, to start working on dispensing infrastructure for E20, E22, E25 and E30 fuels.

This comes shortly after the Bureau of Indian Standards (BIS) norms for new ethanol blends, and the government's April 2026 proposal to allow fully ethanol-powered vehicles. The report stated that the petrol pumps in India will clearly display the information on ethanol-blended petrol sold at fuel stations so the consumers can easily identify the fuel they are buying. The fuel stations will have to label the different variants, claimed the report. The prices of different variants of the ethanol-blended petrol will vary.

The move follows a global trend

The availability of a wider range of ethanol-blended petrol variants in the fuel stations instead of a single variant is expected to give consumers flexibility and choice in buying. In Brazil and other major countries, where ethanol-blended petrol is common, consumers get the choice of selecting their preferred ethanol-blended petrol, as per their vehicle compatibility. However, in India, the case has been different.

Since the uniform rollout of E20 (20% ethanol-blended petrol) in India in April 2025, fuel stations across the country have been selling only that, forcing consumers to pour E20 only in their vehicles, irrespective of compatibility. This has caused displeasure among many customers. Many vehicle owners complained about significantly reduced fuel economy, accelerated wear and tear of key components, etc., issues that are associated with ethanol.

The Petroleum Ministry, however, said vehicle owners did not find any issue related to drivability, metal compatibility and plastic compatibility while using E20 petrol. The ministry has also rejected suggestions that E20 causes a drastic reduction in fuel efficiency, claiming as misplaced.

Meanwhile, a recent survey has found that the performance of vehicles, especially the older models, has seen a notable drop since the nationwide rollout of E20 petrol in April 2025. While the government celebrates achieving its 20% ethanol-blending target six years ahead of schedule, consumers, particularly those driving older vehicles, reported severe drops in fuel efficiency and accelerated engine damage.

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