Govt Mandates Nationwide Sale of E20 Petrol from April 1

The Centre has directed oil marketing companies to sell petrol blended with up to 20 per cent ethanol across India from April 1. The fuel must meet a minimum Research Octane Number (RON) of 95.

The order was issued through a notification by the Ministry of Petroleum and Natural Gas. “The Central Government hereby directs that the oil companies shall sell Ethanol Blended Motor Spirit with a percentage of ethanol up to twenty per cent as per the Bureau of Indian Standards specifications and having a minimum Research Octane Number (RON) of 95,” the notification said.

RON measures a fuel’s resistance to engine knocking. Knocking occurs when fuel burns unevenly in the engine. It can reduce power and damage engine parts over time.

The notification said the rule will apply across all states and Union territories. However, the government may allow oil firms to sell fuel that meets only the RON specification in special cases and for specific regions or periods.

The move marks the next phase of India’s ethanol-blending programme to cut crude oil imports and lower emissions. Ethanol is produced from sugarcane, maize and other grains. It is a domestic and renewable fuel. Higher blending helps reduce dependence on imported oil and supports farmers by creating demand for agricultural feedstock.

The rollout of E20 fuel had initially faced pushback from some consumers in India. There were concerns about compatibility with older vehicles and the potential impact on fuel efficiency. Some two-wheeler and car owners feared higher maintenance costs. However, automakers later began introducing E20 kits to address these concerns.

The All India Distillers' Association (AIDA) has welcomed the decision, describing it as a step toward energy security, cleaner mobility, and sustainable economic growth. 

According to AIDA, the mandate provides long-term demand certainty to ethanol producers, including grain-based distilleries, maize processors, and sugar mills. The association stated that the policy is expected to encourage fresh investment, capacity expansion, and technological advancement across the biofuel ecosystem, while also supporting farmer incomes through increased demand for sugarcane, maize, and other feedstocks used in ethanol production.

The fuel will be standardised under Bureau of Indian Standards (BIS) specifications, which the association says will ensure consistency in fuel quality and safety across the country.

AIDA President Vijendra Singh noted that the decision is expected to reduce dependence on imported crude oil, support long-term price stability, and generate employment across the ethanol value chain.