India to Mandate 20% Ethanol Blended Petrol from April 1

Government Mandates Ethanol Blending in Petrol as of April 1

The Ministry of Petroleum and Natural Gas has issued a notification directing oil marketing companies to sell Ethanol Blended Motor Spirit (EBMS) with up to 20% ethanol content, meeting a minimum Research Octane Number (RON) of 95, nationwide from April 1.

The notification, dated February 17, requires oil companies to adhere to Bureau of Indian Standards (BIS) specifications for ethanol-blended petrol. However, in special circumstances, the government may grant exemptions to sell ethanol-blended petrol that meets only the required RON specifications for specific periods and regions.

Ethanol Blending Benefits

Read also: Treasury Yields Experience Largest Increase in Two Weeks Following Release of Labor Market Data

Ethanol, produced from sugarcane, maize, or grain, is a renewable, domestically produced fuel with cleaner burning properties than pure petrol. The government aims to reduce oil imports and emissions through the mandate, while also supporting farmers by boosting demand for sugarcane, maize, and agricultural surplus.

Industry Preparedness

Most vehicles manufactured in India from 2023-2025 are designed to run on E20, and industry officials expect no major issues with the transition to ethanol-blended petrol.