India has achieved 20% ethanol blending (E20) in petrol in 2025, five years ahead of its original 2030 target and well before the revised 2025 goal. Union Petroleum and Natural Gas Minister Hardeep Singh Puri called this a historic moment for the countryβs energy, environmental, and agricultural sectors.
Key Benefits of E20 Blending
- Economic Gains: βΉ1.4 lakh crore in foreign exchange savings
- Environmental Impact: Significant reduction in greenhouse gas emissions, cleaner air quality
- Farmer Income: βΉ1.21 lakh crore income generated for farmers over 11 years through ethanol procurement
- Energy Security: Reduced crude oil imports by over 238 lakh metric tonnes
Ethanol Sources & Innovation
Indiaβs ethanol is produced from diverse feedstocks:
- Sugarcane juice and molasses
- Maize (share grew from 0% in 2021-22 to 42% in 2025)
- Agricultural residue like crop stubble (parali)
- Bamboo and other biomass
Innovations like 2G ethanol refineries in Panipat and Numaligarh are converting waste into clean fuel, addressing both pollution and rural income generation.
Future Targets & Plans
- Flex-Fuel Vehicles (FFVs): Indian automakers developing E85-compatible models
- Scaling Up: Gradual move to E25, E27, and E30 with BIS standards in place
- Sustainable Aviation Fuel (SAF): 1% blend for international flights by 2027, 2% by 2028, with production from sources like used cooking oil
Policy Framework
The Ethanol Blending Roadmap (2020β25) has guided the countryβs rapid progress, setting clear targets and incentives for industry participation.
Ministerβs Vision
Puri emphasised that ethanol blending is not just a fuel strategy, but a social and economic revolution β turning farmers into Urjadatas (energy providers) while helping India meet climate commitments.
Conclusion
Indiaβs early achievement of E20 blending shows what strong policy, industry cooperation, and farmer participation can deliver. As the nation now aims for higher ethanol blends and sustainable aviation fuels, it is positioning itself as a global leader in green energy transition.