Through E-20 – despite controversies around use of 20% ethanol in petrol -- the government is reducing the country's dependence on imported oil and cut carbon emissions.
My first message in this piece is to develop the right habit of keeping yourself well informed. For this, one has to read – read authentic stuff and be a regular reader to a good newspaper and some reputed news websites.
Social media is good for entertainment and very bad as a guide. Now on the issue. There are multiple ways of looking at things vis-a-vis automobile sector, the use of cars and the two-wheeler and even three wheelers that are used abundantly on Indian roads.
First, a few fact sheet: India is at present the world's largest two-wheeler market and third-largest car market. The use of E-20 -- ethanol and controversies is around it because -- essentially the government has tried to reduce the country's overall dependence on imported oil and cut carbon emissions. For this, the Modi Government undertook blending ethanol -- made from crops such as sugarcane and maize -- into petrol.
This started around 2007-08 and has steadily increased the proportion ever since. We must note that as a nation, India imports close to 88.5 per cent of the crude oil it consumes. That single number explains a great deal about why ethanol blending sits so high on the policy agenda.
Every barrel of oil bought from abroad exposes the country to price swings and supply shocks that are entirely outside its control. Recent developments vis-à-vis Iran war were such instances.
There are merits in what the government of India has been doing in fuel procurement and management. Ethanol produced from Indian sugarcane, maize and rice offers a way to blunt that exposure using resources grown at home. In a statement therefore, the central government has said that the E-20 fuel was rolled out after extensive testing. It does not damage engines as is spread in social media without substance and reasons.
The government has also issued statements on the benefits of E20 and to bust what it called the "more colourful myths that have circulated on social media".
We may highlight here that the Ethanol Blended Petrol (EBP) Programme of the central Government has emerged as a key pillar of India's energy transition and biofuel strategy. Under the EBP Programme, ethanol blending has increased from less than 1.5 percent in 2013-14 to 20 percent in 2025-26. India achieved the 20 percent blending target five years ahead of schedule.
Another set of 'facts' that cannot be ignored while we debate pros and cons is like this.
Ethanol procurement rose from about 38 crore litres in Ethanol Supply Year (ESY) 2013-14 to over 1,200 crore litres (projected) in 2025-26. Production capacity expanded nearly fivefold from 421 crore litres in 2014 to about 2,000 crore litres in 2026.
Analysis
Big three allegations or claims were made to criticise the policy and lambaste the Government.
1. E20 cuts mileage by 30 per cent (a mere claim in social media)
Fact: The 30 per cent figure refers only to ethanol's lower calorific value compared to petrol, not to a drop-in real-world mileage. Mileage depends on driving habits, tyre pressure, servicing and AC load far more than fuel type.
2. Another allegation is - E20 damages engines, especially older ones.
Fact: No widespread pattern of engine failure linked to E20 has been reported since rollout. E20 was cleared only after extensive testing by SIAM, ARAI and IOCL together with vehicle makers.
3. Third charge was ethanol is not a high-performance fuel and reduces vehicle performance.
Fact: Again, the real story is, ethanol is a high-octane fuel, with a research octane number of about 108.5, compared to 84.4 for petrol.
E20 raises the effective octane rating of Indian petrol to around 95, improving combustion in modern engines. Vehicles calibrated for E20 can deliver better acceleration, smoother performance, and lower emissions.
So it is wise to keep yourself updated and do not get carried away by social media. Not keeping oneself well informed or not reading the regular and traditional media is a big crisis of our time.
This is a bad habit not only as consumers. But if someone is not 'informed'; there is a big chance of falling as 'security' prey or victims. Time to be careful.
The government argues that the 20 per cent ethanol blend will reduce dependence on imported crude oil. This will strengthen energy security, lower greenhouse gas emissions and also create new income opportunities for farmers through increased demand for crops such as sugarcane and maize. As a agri-centric nation; this is a stage we should take advantage.
Final Words
Having said these, I would, however, suggest that more awareness is needed about how E20 may affect older petrol vehicles. Car owners should be properly informed so that they can make the right decisions and avoid unexpected changes in performance and fuel economy. This initiative is actually a key milestone in India’s clean-energy transition.
M Chuba Ao
BJP National Vice President.
(Views expressed are personal)