E20 costs more at $70 oil, government prioritizes energy security
Ethanol-blended petrol in India is actually more expensive than regular petrol when global crude oil prices are around $70 a barrel.
Still, the government says the main goal here isn't to make fuel cheaper, it's to help India rely less on imported oil.
Right now, every liter of petrol sold has nearly 20% ethanol mixed in, which helps shield us from wild swings in international oil prices.
India's ethanol blending saved 1.66L/cr forex
The Ethanol Blended Petrol (EBP) program has saved India ₹1.66 lakh crore in foreign exchange over five years and made sure farmers get fair prices, ethanol is being bought at an average of ₹71.55 per liter for 2024-25.
Even though ethanol costs more, Indian petrol prices remain globally competitive: Delhi's rates are lower than those in Pakistan, Sri Lanka, and Italy.
Government sticks with E20 standard
The government is sticking with the new E20 (20% ethanol) standard after careful study and industry input; it's not planning to switch back to older blends like E0 or E10 because it supports energy security and cuts emissions.