India’s ethanol rush prompts anger among vehicle owners, questions for gov’t

India completed one of the world's fastest transitions to higher ethanol-blended petrol when E20 fuel became mandatory across petrol stations, advancing the government's target from 2030 to 2025. The shift from a maximum of 10 percent ethanol to 20 percent has generated substantial consumer dissatisfaction and political debate. Vehicle owners across the country reported significant performance degradation, including reduced fuel efficiency, sluggish acceleration and diminished responsiveness, particularly when driving uphill or using air conditioning.

Consumers documented fuel economy drops exceeding 10 percent, with mileage declining from approximately 18-20 kilometres per litre to 16-17 kilometres per litre. These changes occurred without alterations to driving habits or vehicle maintenance patterns, indicating the fuel composition as the primary cause. Federal Minister of Road Transport and Highways Nitin Gadkari acknowledged the mileage reduction, while some consumers alleged that the ethanol blend had damaged vehicle components.

The government justified the policy by citing reduced dependence on imported crude oil, enhanced energy security, lower greenhouse gas emissions and increased income opportunities for farmers through expanded demand for sugarcane and maize. However, opposition parties questioned the policy's implementation and raised concerns about potential conflicts of interest, noting that Gadkari's family maintains involvement in companies linked to ethanol production. In June 2026, the government's attorney general told India's Supreme Court that the administration was experimenting with the 20 percent blend, a characterisation that triggered national outrage and renewed calls for policy review, despite subsequent government claims of misunderstanding.