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Petrol Ethanol Blend: Big step of the government, decision to mix 20%+ ethanol in petrol, import bill will reduce.

by Rajiv Mishra
April 28, 2026
in Business
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Petrol Ethanol Blend: Big step of the government, decision to mix 20%+ ethanol in petrol, import bill will reduce.
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Amidst the ongoing situation in the Middle East, the Indian government is trying to reduce dependence on imports by increasing the amount of ethanol in petrol. However, an important question is also coming to the fore that there are a large number of vehicles in the country which are not yet completely ready for E20 (20%) blend. In such a situation, the concern is increasing that what will be the effect of this change on the engines of these vehicles and their performance? Let us know about this.

Effect on vehicles due to increase in ethanol

The effect of more ethanol may be visible on vehicles manufactured before April 2023. The vehicles which are made for E10 and run on E20. Their mileage may reduce by about 1 to 2 percent. NITI Aayog’s E20 Roadmap report also indicates that older model vehicles may have difficulty adjusting to this change. A member associated with the report says that this step is necessary for the energy needs of the country. However, before moving ahead, it will be necessary to improve the technology of vehicles and make right policies. So that there is no harm to the common people.
What does the government say?

The government says that the country has got good benefits from Ethanol Blended Petrol (EBP). Every year about 4.5 crore barrels of crude oil is being saved and so far foreign exchange expenditure of about Rs 1.65 lakh crore has also been reduced. Talking about vehicles, most of the cars manufactured between 2012 and March 2023 were designed according to E10. However, new vehicles manufactured after April 2023 have been made according to E20. These vehicles can run easily on petrol containing 20% ​​ethanol.

Government may consider reducing the import bill

If the country buys less oil from abroad, it can have a direct impact on the import bill. This step will provide relief in expenses. Which strengthens the country’s economy. Besides, the impact of fluctuations in oil prices may also be slightly reduced.
Which directly benefits the common people. Besides, farmers and local industries also benefit from the increase in domestic alternatives like ethanol.

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Tags: Decision to mix 20%+ ethanol in petrolImport bill will reducePetrol Ethanol Blend: Big step of the government

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