SIAM withdraws communication on E20 petrol contamination

The Society of Indian Automobile Manufacturers (SIAM) has clarified that media reports on its communication to the government regarding E20 fuel quality had selectively quoted excerpts. The industry body withdrew the communication, saying some of the figures referred to in it require authentication.

"The referred numbers reported in the Media need authentication as mentioned above and therefore SIAM is withdrawing its earlier communication," SIAM said in a statement late on Tuesday night.

The clarification comes after media reports that SIAM has raised concerns with the Ministry of Petroleum and Natural Gas over contamination in E20 petrol, citing higher chloride and moisture levels and an increase in the replacement of fuel system and exhaust-related components.

"SIAM has taken note of certain media reports that have cited excerpts from a SIAM communication, with specific and selective focus on chloride and sulphur content in fuel. SIAM wishes to clarify the matter and place it in its correct context for the benefit of the public and all stakeholders," the industry body said.

SIAM said the communication referred to in the reports was part of routine discussions among industry stakeholders.

"SIAM communication in question was part of routine and ongoing technical deliberations that take place between various stakeholders, including industry bodies, oil marketing companies, auto OEMs and testing agencies," it said.

The industry body said the figures referred to in the communication required further verification.

A news report published by a leading business channel on Tuesday morning, which has now been removed, said SIAM has flagged a rise in replacement of fuel injectors, fuel pumps and other components. One of the key points in SIAM's letter reportedly includes a chloride spike, fuel samples showing chloride contamination up to 500 mg/kg, causing corrosion and component wear.

"Some numbers quoted in the communication needs authentication through collection of elaborate data from various regions across the country followed by a comprehensive consultation with our member OEMs," it said.

It added that the Ministry of Petroleum and Natural Gas had already introduced a 3 ppm guideline for chloride and sulphur in ethanol blended into petrol and that oil marketing companies had strengthened quality checks across the fuel supply chain.

"All of these steps fully meet the needs of the automobile industry," SIAM said. The industry body also sought to reassure consumers over the rollout of E20 fuel.

"SIAM would like to reassure consumers and the general public that the automobile industry has always been fully supportive of this initiative of the Government of India on E20 which is important from an energy security perspective. There is no cause for concern arising from the matter reported as these issues have been routinely addressed over the past several decades between Auto Industry and OMCs," it said.

Earlier on Tuesday, the Petroleum Ministry said fuel quality is monitored regularly by state-run oil marketing companies and highlighted enhanced testing protocols, after reports emerged on SIAM's communication regarding E20 fuel quality concerns.