Rising fuel expenses is one of the biggest concerns for daily commuters in India. While the government has often introduced policies and strategies to promote fuel efficiency, the impact on end users has been mixed. The Centre has recently proposed increasing the content of ethanol in petrol alongside the current target of 20% (a blend of 20% ethanol and 80% petrol). According to a draft issued by the Ministry of Road Transport and Highways (MoRTH), amendments to the Central Motor Vehicles Rules, 1989 have been proposed to adopt higher ethanol blends such as E85 (85% ethanol) and even E100 (100% ethanol) as separate fuel grades.
While the draft is still in its infancy, and is not yet finalised, it has been opened for public comments for 30 days
to accumulate feedback. With fuel prices continuing to strain budgets of people from all walks of lives, any move towards improved efficiency or cheaper alternatives quickly becomes a topic of debate. While the government’s push for higher ethanol-blended fuel appears promising on the surface, does it truly benefit car owners in India? Let’s find out.
What Is E20 Fuel?
E20 fuel is a blend of 20% ethanol and 80% petrol (petrol). It is a renewable, plant-based fuel that aims to reduce dependency on imported crude oils and lessen carbon emissions. Ethanol’s naturally high octane rating (somewhere around 108–110) helps in improving combustion quality while reducing engine knocking. For reference, India announced nationwide rollout of E20 fuel in April this year.
What Are the Newly Proposed E85 and E100 Fuels, and How Could They Impact India?
As mentioned above, the draft proposed by the government highlights on increasing the ethanol blend in petrol – E85 (85% ethanol) and E100 (100% ethanol), which means cars running solely on ethanol. The decision is part of a broader strategy to reduce the reliance of the country on imported crude oil and uplift alternative, domestically produced fuels. To make this inclusion happen, amendments have been proposed to the Central Motor Vehicles Rules, which would allow the use of vehicles compatible with higher ethanol concentrations, including flex-fuel engines.
Although the confirmation is still pending, the idea to adopt higher ethanol blends alongside the existing E20 could have wider implications than imagined. For instance, Ethanol production demands significant amount of water resources, particularly in the case of sugarcane, which may worsen water stress in many regions. Even increased use of food crops for fuel may also affect food availability and pricing. As for the automobiles, the use of higher ethanol-blended petrol may pose technical challenges, including engine redesigns and improved material compatibility due to ethanol’s corrosive nature.
Also Read: 'No Future For Diesel And Petrol Vehicles': Nitin Gadkari Pushes Green Shift
Will It Reduce Fuel Expenses for Car Owners?
While on the surface, the higher use of ethanol in petrol may seem cost-effective for car owners, as ethanol is more cheaper than petrol. That said, the real impact on fuel expenses is far more complex. Ethanol contains less energy than petrol, which means vehicles will comparatively offer lower mileage when running on higher ethanol blends, compared to the existing or fully petrol-based counterparts. As a result, even if the price per litre is lower, the cost per kilometre may not see a significant reduction in price and could even increase in some cases.
Many new cars and SUVs currently running on Indian roads today are developed for up to E20 fuel. Running them on higher blends like E85 would require compatible or flex-fuel engines, and this could add to the upfront cost of these models. There may also be indirect costs pertaining to infrastructure upgrades and fuel price mechanisms.
In conclusion, while the content of higher ethanol in the petrol can help reduce oil imports and support cleaner mobility, the benefits for car owners in terms of fuel savings are likely to be limited, at least in the near future.
