The Indian Sugar and Bio-Energy Manufacturers Association (ISMA) has strongly defended the country’s ethanol-blending programme amid ‘misleading’ claims from some quarters about its impact on vehicle engines.
In a statement, ISMA said the E20 fuel blend, 20 per cent ethanol mixed with petrol, has undergone rigorous testing by Oil Marketing Companies (OMCs) and has been certified by the Automotive Research Association of India (ARAI) as fully compatible with Indian vehicles.
Automobile manufacturers are already producing E20-compliant models, the association noted.
Referring to Brazil’s decades-long use of ethanol blends from E20 to E100 without major issues, ISMA highlighted that the South American nation currently blends over 27 per cent ethanol in petrol and is targeting 30 per cent by 2030.
“Ethanol-blended fuel is not just a technological choice–it is a national imperative. Backed by rigorous scientific validation and decades of global experience, it delivers clear benefits for our farmers, our economy, and our environment,” ISMA Director General Deepak Ballsaid in the statement.
From an economic perspective, the ethanol blending programme has become a “game changer” for over five crore sugarcane farmers, with more than Rs 1.18 lakh crore transferred to them.
ISMA argued that the blending of ethanol with petrol improved the financial health of sugar mills, ensured timely payments to farmers, and helped manage excess sugar inventories, ultimately stabilising sugarcane prices and protecting farmer incomes.
The E20 target is also expected to save Rs 35,000-40,000 crore in foreign exchange annually by reducing crude oil imports, which account for over 85 per cent of India’s consumption.
“The recent negative campaign on social media against ethanol-blended fuels is not only misleading but also detrimental to a nationally important programme,” the ISMA statement noted.
Earlier this week, the Ministry of Petroleum and Natural Gas had also dismissed recent claims circulating on social media that E20 petrol causes a drastic drop in fuel efficiency, besides impacting the engines. The ministry clarified that while ethanol has a lower energy density than petrol, the impact on fuel efficiency is only marginal.
In 2014, the ethanol blending was just 1.53 per cent. By 2022, India achieved 10 per cent blending, five months ahead of schedule. The original target of 20 per cent blending (E20) by 2030 was advanced to 2025 and has already been achieved in the current Ethanol Supply Year.
