Ethanol-blended petrol, especially E20 fuel, has become a hot topic of discussion across India. From rising complaints on social media to real concerns from vehicle owners, the shift to E20 has stirred both curiosity and frustration. The government has begun blending 20% ethanol into petrol in a move it claims is economically and environmentally beneficial. But if ethanol is cheaper than petrol, why aren't fuel prices coming down? And is E20 damaging your vehicle's engine and mileage? Let’s break it all down.

What is E20 Fuel?

E20 fuel is a blend of 80% petrol and 20% ethanol. Ethanol is a biofuel typically produced from crops like sugarcane or maize. It is cheaper and more sustainable than traditional fossil fuels. The goal behind the E20 push is to reduce reliance on crude oil imports and cut down carbon emissions.

As of now, the price of petrol in Delhi stands at around ₹94.77 per litre. This includes the base price, transport charges, excise duty, dealer commission, and VAT. In contrast, ethanol costs ₹57.97 per litre, plus 5% GST and minimal transportation expenses, making its final price approximately ₹61 per litre.

Now, let’s do the math:

• 80% petrol (₹94.77) = ₹75.81
• 20% ethanol (₹61) = ₹12.20
• Total for E20 fuel = ₹88 per litre approximately

This means E20 should be about ₹6 to ₹8 cheaper than regular petrol. Yet, consumers are still paying around ₹94-₹95 per litre at the pump. People are comparing this situation to adding water to milk but still selling it at the same price.

The Mileage Concern

While the government acknowledges a minor impact on mileage, users are reporting more significant effects—especially those with older vehicles.

According to official data:

• Mileage drop for new vehicles: 1% to 2%
• Mileage drop for older vehicles: 3% to 6%

Take the example of Rajat, who owns a 2017 model Alto 800. Previously, his car gave 15–16 km/l in city conditions. With a daily commute of 16 km (to and from work), he consumed around 2 litres of petrol per day. Post E20 usage, his car’s mileage dropped by 3 to 4 km/l, requiring 2.5 litres of fuel for the same distance. His daily fuel cost increased by ₹50, which adds up to ₹1000 per month assuming 20 working days. This is not a negligible expense for many middle-class families.

Engine Damage in Older Vehicles?

One of the major concerns raised on social media is the long-term impact of E20 on older vehicles—especially those manufactured before 2023. Experts suggest that for such vehicles, E20 fuel may not be compatible without modifications.

To make older vehicles compatible with E20, the following parts may need to be replaced:

• Fuel tank
• Hoses
• Injectors
• ECU (Engine Control Unit)

The cost of such upgrades can be high:

• Two-wheelers: up to ₹5,000
• Cars: may exceed ₹1 lakh

However, the Ministry of Petroleum and Natural Gas claims that this is not true for all vehicles. According to them, after 70,000–100,000 km of use, only rubber hoses and gaskets—relatively inexpensive components—may need replacement during regular servicing.

They also argue that newer vehicles (post-April 2023 models) are already designed to handle E20 fuel. These vehicles use special anti-corrosion coatings and parts that can withstand the ethanol blend.

Performance and Environmental Impact

Contrary to some concerns, the government insists that E20 can enhance engine performance in modern vehicles. Ethanol has a higher octane number than petrol, which can improve combustion and engine output in compatible engines.

More importantly, the government highlights major environmental and economic benefits:

• Ethanol made from sugarcane can reduce CO2 emissions by up to 65%
• Ethanol made from maize can reduce CO2 emissions by around 50%
• Since 2014, ethanol usage has reduced CO2 emissions by 698 lakh tonnes
• India saved ₹1.4 lakh crore in crude oil import bills
• Farmers have earned ₹1.2 lakh crore through ethanol production

So Why Is the Common Man Still Paying More?

Despite these positive figures, the core question remains: If E20 is cheaper to produce and helps reduce government spending, why aren't fuel prices going down for the public? Why are vehicle owners facing higher fuel bills and potential engine issues?

This contradiction is at the heart of the current debate. While the government promotes the green fuel as a step toward sustainability, many citizens feel the costs—both literal and mechanical—are being unfairly transferred to them.

Conclusion

E20 fuel may be a step in the right direction for the environment and the economy, but it comes with real-world trade-offs for the common man. With concerns about vehicle compatibility, mileage drops, and unchanged fuel prices, the transition to ethanol-blended petrol needs more transparency, awareness, and possibly, government intervention to ensure citizens aren’t left bearing the burden of a cleaner future.

What are your thoughts on the E20 fuel policy? Is it a green revolution or a burden in disguise? Share your views in the comments.