CEA urges E10 option for old vehicles, no govt plan yet

Chief economic adviser V Anantha Nageswaran has argued that the government should offer E10 petrol as an option for older vehicles, even as officials say there is no plan to bring back the lower-ethanol blend. In an opinion piece with department of economic affairs consultant Akash Poojari, Nageswaran said India has 75 to 80 million older two-wheelers with rubber seals not rated for higher ethanol content, and retrofitting them would take years. The piece said the government should protect the existing fleet while the retrofit programme catches up.

Government officials dealing with ethanol policy told Times of India there is no discussion to reintroduce E10, citing additional infrastructure costs and complications over pricing, storage and distribution. One official said allowing E10 would mean the government accepts that E20 is unsuitable for older vehicles, which they said is not the case. Studies have shown E20 does not cause mechanical issues, another official argued.

Outlook Business, in a piece by Vibha Dhawan, reported that India achieved 20% ethanol blending in April 2026, five years ahead of target, with nearly 1,200 crore litres procured and Rs 1.90 lakh crore in foreign-exchange savings. The piece argued the programme should continue with more R&D and independent testing, and that public unease should be met with evidence rather than dismissal. It said ethanol is a high-octane fuel that allows cleaner combustion and noted that the oft-cited 6% mileage loss is a laboratory figure that does not account for engine calibration.