The Indian government has notified a new standard for higher ethanol-petrol blends, including E22, E25, E27, and E30 fuels, paving the way for blending ethanol in petrol beyond the current 20% level. This push comes amid reports of surplus ethanol availability and the need to reduce crude oil imports due to the conflict in West Asia, which has impacted global energy supply chains.
New BIS Standard for Ethanol Blends
The new Bureau of Indian Standards (BIS) standard, published on May 15, lays down specifications for fuel blends made by mixing anhydrous (completely water-free) ethanol with motor gasoline for use in petrol-powered vehicles. The standard defines technical and quality parameters, including composition, blending requirements, permissible impurity levels, testing methods, and safety norms.
ARAI Study on E25 Impact
Amid concerns about the impact of E25 (25% ethanol blending) on existing vehicles' mileage and engine life, the petroleum ministry has tasked the Automotive Research Association of India (ARAI) with a detailed study. The study will focus on vehicles currently compliant with E10 and E20 standards, as most existing vehicles are fully compliant with E10, while E20-compliant vehicles will only hit the market after April 2025.
The notified fuel norms and the ARAI study may provide the government with flexibility to push blending beyond 20%—though less than 25%—in the near future to utilize surplus ethanol, experts said. According to sources, at a recent inter-ministerial group meeting, BIS indicated that adding 1% extra ethanol beyond the current 20% would not be an issue. However, since increasing blending to 25% is a significant jump, ARAI will conduct the study using E10- and E20-compliant vehicles.
Industry Reactions and Next Steps
The All India Distillers' Association (AIDA) has described the government's move as a "significant and timely step" towards advancing India's ethanol blending program and reducing dependence on crude oil imports. People aware of the developments emphasized the need to assess engine life, performance (mileage), emissions, and upfront and recurring costs for vehicles not designed for higher ethanol blending. As per best practices, vehicle samples should be run for 60,000 to 70,000 kilometers for a proper assessment.
