E30 petrol push: AIDA urges govt to raise ethanol blending; check details

# Business Desk
Representative image: (Photo by Narinder Nanu / AFP)
Representative image: (Photo by Narinder Nanu / AFP)

As global tensions rise and crude oil prices fluctuate, India is looking for ways to protect both its economy and energy needs. In this context, ethanol has once again come into focus. 

The All India Distillers Association (AIDA) has written to Union Road Transport and Highways Minister Nitin Gadkari, urging the government to increase ethanol blending in petrol beyond 20% and promote vehicles based on flex-fuel technology. This is not just about fuel; it is about India’s energy security.

Amid volatility in global crude oil prices and ongoing tensions in West Asia, India is working to strengthen its fuel options. On March 23, Prime Minister Narendra Modi, in his address to the Lok Sabha, highlighted the benefits of India’s long-term preparations.

He said that over the past 11 years, India has diversified its energy imports, from 27 countries earlier to 41 countries now.

Speaking on ethanol, PM Modi noted that, “In this time of crisis, another preparation of the country is proving very useful. In the last 10–11 years, significant work has been done on ethanol production and blending. A decade ago, ethanol blending in petrol was just 1–2%, but now we have reached 20%, reducing petrol imports by around 45 million barrels annually.”

After E20, now push for E30

In its letter, AIDA said that India has already achieved its target of 20% ethanol blending ahead of schedule, thanks to joint efforts by the government and industry.

The association now wants this level increased to 30%. It believes this move would significantly cut crude oil imports, reduce foreign exchange expenditure, and provide economic relief.

AIDA also warned that rising tensions in West Asia could push crude oil prices higher, which would directly impact import-dependent countries like India. In such a scenario, focusing on domestic alternatives like ethanol becomes crucial. Ethanol can act as a protective shield for the Indian economy.

Focus on flex-fuel vehicles

AIDA has urged the government to rapidly promote flex-fuel vehicles. These vehicles can run on varying ethanol blends, even up to 100% ethanol.

Countries like Brazil have already successfully adopted this technology on a large scale. In India, this could boost ethanol demand and ensure better prices for crops like sugarcane, benefiting farmers.

The association also suggested expanding ethanol use beyond vehicles—to domestic and commercial kitchens through ethanol-based burners and cooking systems. This could be particularly useful in rural and non-metro areas, where traditional cooking methods are still widely used.

Ethanol in diesel as well

AIDA has also proposed blending ethanol in diesel. If successful, this could lower diesel costs and further expand ethanol usage. The government has already begun preliminary work in this direction. Last August, in Pune, Nitin Gadkari said ethanol is just the beginning.

The Automotive Research Association of India (ARAI) has started working on isobutanol as well. They are experimenting with 10% isobutanol blending in diesel and have even developed an engine that can run on 100% isobutanol in collaboration with Kirloskar.

AIDA has expressed its willingness to meet with the government and present a detailed roadmap on increasing ethanol usage. The roadmap would outline how India can not only meet its energy needs but also move faster towards green and sustainable energy.

Overall, ethanol is no longer just an optional fuel; it is becoming a key pillar of India’s energy strategy.