Overview
- The ministry, in a detailed FAQ released Friday, acknowledged that E20 can cut fuel economy by about 3–5% in some vehicles while saying that this trade-off does not indicate systemic engine or component failure.
- Government officials pointed to laboratory tests, manufacturer field data and ARAI reviews to reject claims of widespread damage and cited Maruti Suzuki service records covering millions of vehicles as real-world evidence.
- The Centre said it will not offer E10 or unblended petrol alongside E20 because running parallel nationwide supply chains would create major logistical challenges and threaten roughly ₹1 lakh crore a year of ethanol-related investments.
- Officials also explained that E20 is not automatically cheaper at current global crude prices because ethanol is bought at remunerative rates (maize-based ethanol cited at about ₹71.86 per litre), so economics depend on oil prices.
- The government said testing and consultations will continue on higher blends such as E25 and E85, with any E85 supply to be restricted to vehicles specifically designed to use flex-fuel, and warned that misinformation campaigns have inflamed public concern.