A Toyota Innova capable of running on 100% ethanol is expected to be launched in October, according to Union Minister for Road Transport and Highways Nitin Gadkari. The development comes as India looks to move beyond petrol-ethanol blending towards wider adoption of flex-fuel vehicles (FFVs).
The announcement coincides with the public availability of a white paper by the All India Distillers’ Association (AIDA) and IIT Delhi, titled Flex-Fuel Vehicles: Enabling Energy Security and Sustainable Mobility in India. The paper proposes a 10-point roadmap for increasing the adoption of FFVs and transitioning from E20 to higher ethanol blends such as E85 and E100.
According to the release, the white paper was unveiled at the AIDA Green Energy Seminar 2026 earlier this month. It covers vehicle technology, ethanol availability, retail infrastructure, pricing, feedstock sustainability, consumer adoption, financing and long-term market creation.
IIT Delhi White Paper Outlines E85 And E100 Roadmap
The paper argues that the next challenge for India's ethanol ecosystem is creating demand-side pathways through compatible vehicle technology and fuel infrastructure. Flex-fuel vehicles can operate on a range of ethanol-petrol blends, including fuels with higher ethanol content.
India's first flex-fuel passenger vehicle was launched in June 2026, according to the release. Gadkari's latest statement regarding the Toyota Innova adds a 100% ethanol vehicle to the ongoing discussion around higher-ethanol fuel use.
The white paper recommends engineering measures including ethanol-compatible seals such as FKM/Viton and PTFE, adaptive ECU calibration and higher-flow fuel injectors for vehicles operating with higher ethanol blends.
White Paper Proposes Cost-Per-Kilometre Ethanol Pricing
The study proposes moving from a pure per-litre pricing model towards cost-per-kilometre parity. It suggests dynamic E85 retail discounts to account for ethanol's lower energy density, citing a 25% discount against petrol as an example of a break-even price point.
The paper also identifies two-wheelers as a key segment for ethanol adoption, noting that they account for more than 60% of India's petrol consumption. It proposes a segment-specific ethanol strategy aimed at increasing crude oil import substitution.
The roadmap further calls for broader feedstock options, including maize and agricultural residues through second-generation ethanol, alongside sugarcane. The paper links this expansion to local value addition and rural income generation.
The report concludes that the transition to higher-ethanol mobility will require coordination between the automotive, energy, biofuel, agriculture and policy sectors.