What ethanol-blended fuel means for your car and mileage
What's the story
The Indian government is pushing for ethanol-blended fuels in a bid to reduce reliance on imported crude oil and lower vehicular emissions. But this has left many consumers questioning the impact of these new fuel blends on their vehicles. Ethanol blending is a process where ethanol, a biofuel derived from sugarcane and grains, is mixed with regular petrol to create cleaner-burning fuel alternatives.
Blend breakdown
Meaning of 'E' and number in blends
The 'E' in these blends stands for ethanol, while the number indicates the percentage of ethanol in the blend. For instance, E20 is a blend containing 20% ethanol and 80% petrol by volume. This means it consists of 80% petrol on which appropriate excise duties have been paid and 20% ethanol attracting Central, State/Union Territory or integrated taxes. Likewise, E25, E27, and E30 contain 25%, 27%, and 30% ethanol by volume, respectively.
Policy shift
Government cuts petrol, diesel excise duty to boost ethanol sales
The Indian government has been actively promoting the use of ethanol-blended fuels. In March, it cut excise duty on petrol and diesel by ₹10/liter to cushion domestic customers from rising global crude oil prices. Recently, Union Petroleum and Natural Gas Minister Hardeep Singh Puri announced the introduction of E85 or petrol blended with 85% ethanol.
Efficiency concerns
Survey shows drop in fuel efficiency, increase in repairs
A survey by LocalCircles found that vehicles using blended fuels have seen a significant drop in fuel efficiency. Half of the 24,710 respondents said their fuel efficiency had dropped in the last nine months, with some reporting a decrease of up to 20%. The survey also found that about one-third of car owners who bought their vehicle before 2022 experienced unusual wear and tear or need for repair in this period.
Policy stance
Government committed to E85 blending program despite consumer concerns
Despite public concerns over the impact of blended fuels on vehicle mileage, the government is committed to moving toward higher ethanol blends. Policymakers see this blending program as a key strategy for reducing India's dependence on imported crude oil, cutting vehicular emissions, and boosting agricultural sectors producing sugarcane and grain-based ethanol.
Fuel introduction
E85 blend will be available at ₹20 lower than E20
Puri launched the E85 fuel on June 5 at an Indian Oil Corp outlet in New Delhi. It will be sold at ₹20 lower than the E20 blend and will be available at 50 fuel stations across India initially. The government is also considering policy measures to speed up the adoption of hybrid-fuel vehicles, according to Puri.