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Did Bhutan reject E20 fuel offer? Modi government clarifies
The introduction of E20 petrol in India has sparked widespread debate and protests

Did Bhutan reject E20 fuel offer? Modi government clarifies

Jul 05, 2026
05:37 pm

What's the story

The Indian government has refuted claims that Bhutan turned down a proposal to import E20 fuel from India. The Ministry of Petroleum and Natural Gas clarified that no such offer was made by India's Oil Marketing Companies (OMCs). The clarification comes after reports surfaced about Bhutan's request for India to continue supplying regular petrol as long as it is available in the Indian market.

Storage issues

Bhutan's concerns

Bhutanese authorities have expressed concerns over their country's inadequate and aging fuel storage infrastructure, which cannot handle ethanol-blended petrol. They also pointed out that Bhutan's mountainous terrain requires maximum power from vehicles and feared that E20 may not provide the consistent performance needed on steep roads. An official said, "Considering the existing condition and quality of several of the underground storage tanks, the import and handling of ethanol-blended fuel may pose challenges in ensuring fuel quality."

Official statement

Government responds to criticism over E20 petrol

In response to the concerns raised over E20 fuel, the Ministry of Information and Broadcasting clarified that it was introduced only after extensive testing by India's leading technical institutions. The government also emphasized that the automobile industry has been aligning vehicles with prescribed ethanol-blending standards. It further clarified that using approved E20 fuel does not automatically void a manufacturer's warranty merely because ethanol-blended petrol is used.

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Performance debate

Impact of E20 on vehicles

The introduction of E20 petrol in India has sparked widespread debate and protests over its impact on vehicle performance. Owners of petrol vehicles manufactured before 2023 have reported reduced fuel efficiency, higher maintenance costs, and increased engine wear and tear. However, the government maintains that while E20 may slightly reduce fuel efficiency, it offers better acceleration and overall engine performance.

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