Hyderabad: The Internet has been buzzing with chatter about ethanol blending in petrol (E20) fuel for the past few days. Some netizens are posting on social media, calling the E20 fuel adulterated and substandard.
A social media post alleging that E20 is ‘adulterated’ is at the centre of this buzz. A screenshot of these claims was shared on X by a user.
The claims stated, “This substandard fuel harms engine performance and vehicle reliability. Long-term use may damage engines, leading to costly repairs. Demand quality fuel to protect your vehicle and ensure fair pricing!” (Archive)
Let us look at E20 and the buzz surrounding it.
What is the EBP programme?
With the majority of the fuel requirement for transportation met by fossil fuels, India depends heavily on oil imports. Increasing vehicle population in the country will lead to higher demand for fuel. To reduce the import dependency, the Government of India implemented the Ethanol Blended Petrol (EBP) Programme.
The EBP programme also aims to reduce environmental pollution, generate employment and provide better remuneration to farmers.
What is E20?
E20 fuel is a mixture of 20 per cent anhydrous ethanol with 80 per cent petrol volume by volume. E20 is sold for vehicular consumption across the country, and this is implemented through the EBP programme.
In one litre of E20, there is 200 ml of ethanol and 800 ml of petrol. Ethanol (Formula - C2 H5 OH) is a biofuel which is naturally produced by the fermentation of sugars by yeasts or other organic matter.
Similar to E20, E5 and E10 blended fuels are made by mixing 5 per cent and 10 per cent ethanol with petrol. E5 has been in use in India since 2003.
EBP - the upside:
The Ethanol Blended Petrol programme has definitely saved the country a lot of money.
A X post by the ministry stated that the EBP Programme has made significant contributions over the last decade. (Archive)
Till Ethanol Supply Year 2023-2024, the programme has resulted in expeditious payment of more than Rs 90,000 crore to farmers, savings of more than Rs 1,00,000 crore of foreign exchange, net CO2 reduction of about 576 lakh metric tonne and substitution of more than 190 lakh metric tonnes of crude oil.
According to Roadmap for Ethanol Blending in India 2020-25, a report by an export committee, with the usage of E20 fuel, Carbon Monoxide emissions were observed to be 50 per cent lower in two-wheelers and 30 per cent lower in four-wheelers. The use of higher ethanol blending has shown reductions in emissions by vehicles.
So, higher ethanol blending in petrol is definitely better for the environment, but not so much for your vehicle if it's not compatible.
E20 - the downside:
The rubber and plastic components used in gasoline vehicles produced since 2008 are compatible with E10 fuel. However, using E10-compatible vehicles using E20 fuel will lead to corrosion of certain engine components.
Studies have observed a decrease in the fuel economy of 6 per cent on average with the use of E20 fuel. Four-wheelers designed for E0 and calibrated for E10 will experience a drop in fuel efficiency by nearly 6-7 per cent. This is 1-2 per cent in those designed for E10 and calibrated for E20.
The Society of Indian Automobile Manufacturers (SIAM) had informed the expert committee that modifications in engine hardware and tuning can reduce the loss of efficiency caused by blended fuel.
On March 20, Petroleum and Natural Gas minister Suresh Gopi had also quoted the report in Lok Sabha, stating that E20 results in a marginal reduction in fuel efficiency for four-wheelers designed for E10 and calibrated for E20.
However, the total cost of the ownership of the vehicle will increase as the maintenance costs will rise and the components that come in contact with the E20 fuel might have to be changed if the vehicle is not E20 compatible.
The price of petrol remains high despite blending with higher volume ethanol, which is taxed significantly lower at 5 per cent in comparison to petrol.
E20 compatibility
Vehicles need to be produced with engines designed for the use of E20 fuel, rubberised parts, plastic components, and elastomers also have to be made compatible. These vehicles will run on E20 and provide high performance.
April 2025 onwards, Manufacturers in India have been asked to produce vehicles with engines compatible with E20 fuel. Maruti Suzuki, Volkswagen, Kia, Skoda, Hyundai, Honda, and other car brands have already updated their vehicles with E20-compatible engines.
Ethanol Blended Petrol Programme and India:
India’s EBP programme started in 2003 with the sale of 5 per cent ethanol-blended petrol in 9 States and 4 Union Territories. This was extended to 20 States and 4 union territories in 2006.
E10 was made mandatory across the country in April 2022, and by June 2022, India achieved nationwide E10 blending.
National Policy on Biofuels 2018 provided a target of achieving 20 per cent blending of Ethanol by 2030. However, this target was advanced from 2025 to 2026 by the government.
Blending of ethanol further increased to 12.06 per cent in ESY 2022-23, 14.60 per cent in ESY 2023-24 and 17.98 per cent in ESY 2024-25 (As of February 28, 2025). On June 30, the Ministry shared an X post indicating that the ethanol blend is currently 19 per cent.
Prime Minister Narendra Modi, in February 2025, claimed that the industry is on course to achieve a 20 per cent ethanol mandate by October this year.
Several news reports have been suggesting the Indian Government is set to focus on higher blends of ethanol, such as the E27 and E30. However, it is worth noting that the report ‘Roadmap for Ethanol Blending in India 2020-25’ has set yearly targets up to Ethanol Supply Year (ESY) 2025-26 ending on October 31, 2026.
For ethanol blending targets beyond this, an Inter-Ministerial Committee (IMC) has been constituted by the Government to recommend future targets. The IMC is yet to submit its report.
Ethanol-blended fuel used globally
Brazil currently uses 27 per cent ethanol-blended petrol (E27) along with 14 per cent blended with Diesel. Brazil's National Energy Policy Council (CNPE) on June 25 approved an increase in the levels of biofuel mixed into fossil fuels. From August, 30 per cent ethanol is to be blended into petrol and 15 per cent into diesel.
In the United States of America, 10 per cent ethanol blending in petrol (E10) is standard across most markets. The Trump Administration has allowed for the temporary sale of fuel with higher blends of Ethanol, E15, even during summer months.
Thailand introduced a 10 per cent blend rate and wanted to increase this to 20 per cent in July this year. However, this was postponed to next year as ethanol prices soared to a five-year high on the back of higher feedstock prices and insufficient production of E20-compatible vehicles.
In the European Union, E5 blended fuel is widely used. Several countries have increased the blending and adopted E10 fuel. Most countries in Africa have also proposed or adopted blended fuel in the range of E5 to E10.
Conclusion
Petrol prices remain high despite the E20 mandate. E20-compatible vehicles are relatively newer, and the older vehicles need to be tuned to be made compatible with E20, which increases the maintenance costs. However, E20 is not adulterated or substandard fuel.
Fuels with higher levels of ethanol blending are mandated by the government. Shift to fuel with higher blends of ethanol has reduced the crude oil import costs and vehicle emissions. Therefore, E20 is the current standard for fuel across the country