India’s Ethanol Blended Petrol (EBP) Programme is a major initiative aimed at reducing crude oil imports, strengthening energy security, supporting farmers and lowering carbon emissions.
Under this programme, ethanol is mixed with petrol. E10 fuel contains 10% ethanol, while E20 fuel contains 20% ethanol. India achieved its E20 blending target in 2025, five years ahead of the original 2030 target.
Ethanol production in India mainly depends on sugarcane molasses. The country is also expanding production using maize, surplus rice, damaged food grains and agricultural residues to make the programme more sustainable.
The EBP programme has delivered significant benefits. Since 2014, India has saved more than ₹1.4 lakh crore in foreign exchange by reducing oil imports. Farmers earned around ₹1.18 lakh crore through ethanol supply chains, while the programme reduced nearly 832 lakh metric tonnes of CO₂ emissions.
However, E20 petrol has also raised concerns. Since ethanol has lower energy density than petrol, some vehicles may experience reduced mileage. Older vehicles designed for lower ethanol blends may face engine performance and durability issues.
Another major concern is the lack of consumer choice, as most fuel stations do not provide separate E10 and E20 options.
Going forward, India needs to promote flex-fuel vehicles, improve second-generation ethanol technology and ensure sustainable feedstock usage to make ethanol blending successful.
Key Points to Remember:
• Programme: Ethanol Blended Petrol (EBP)
• Ministry: Petroleum & Natural Gas
• Policy Support: National Biofuel Policy 2018
• E10 – 10% ethanol blend
• E20 – 20% ethanol blend
• E20 target achieved: 2025
• Foreign exchange savings: ₹1.4 lakh crore+
• Farmer earnings: ₹1.18 lakh crore
• CO₂ reduction: 832 lakh metric tonnes
• Supports India’s Net Zero 2070 target
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