11-July-2026
Economy News
 
Govt admits E20 costlier, mileage hit but defends ethanol rollout amid backlash
11-Jul-2026

The government has acknowledged that E20 petrol is currently costlier to produce than pure petrol at prevailing crude prices and can reduce fuel economy by 3-5% in some vehicles, but defended the ethanol-blending programme as a long-term energy-security move aimed at cutting India’s exposure to imported oil. The clarification comes amid a growing consumer backlash over 20% ethanol-blended petrol, with motorists raising concerns over lower mileage, possible impact on older vehicles and the absence of pure petrol or E10 at pumps. E20, a blend of 80% petrol and 20% ethanol, is now the standard petrol variant across the country.

News Source:- https://www.financialexpress.com/policy/economy/govt-admits-e20-costlier-mileage-hit-but-defends-ethanol-rollout-amid-backlash/4288679/