6 days ago
BPCL Explores E10 Option Alongside E20 for Older Vehicles
India mostly sells E20 petrol, which has 20% ethanol mixed with petrol.
Some older vehicles were designed for petrol with less ethanol, such as E10.
BPCL is examining whether these vehicles could get E10 while E20 remains available.
This does not mean BPCL plans to replace E20 with E10.
The company says changing the blend at its facilities would not be a major infrastructure problem.
However, selling both fuels across the country could require separate tanks, pumps, transport and blending systems.
The Petroleum Ministry says there are no government discussions, while BPCL and reports describe exploratory work.
No final decision has been announced.
BPCL Chairman Sanjay Khanna said E10 petrol is being explored for older vehicles alongside E20, not as a replacement.
No final decision has been made, with supply availability and simultaneous handling of two petrol grades under review.
The Petroleum Ministry said there are no government discussions on the issue, contradicting reports of preliminary exploratory deliberations.
Industry officials said nationwide E10 and E20 sales could require parallel supply chains, tanks, dispensers, blending systems and transport.
India reached 20% ethanol blending last year; officials continue to debate E20’s effects on older vehicles and its logistical costs.
- Who
- Bharat Petroleum Corporation Chairman and Managing Director Sanjay Khanna, oil-marketing companies, government officials, and advisers V. Anantha Nageswaran and Akash Poojari are involved in the debate.
- What
- The option of selling E10 petrol alongside E20 for older vehicles is being examined, although BPCL says E20 would not be replaced.
- Where
- The proposal concerns India’s nationwide petrol-retail network of more than one lakh outlets.
- When
- The issue was discussed on August 27; India reached 20% ethanol blending in petrol the previous year.
- Why
- Older vehicles may not have been designed for E20, while offering two mass-market petrol grades could create major supply-chain, infrastructure and cost challenges.
Supporters of an E10 Option
Supporters of Continuing E20
Older-vehicle compatibility
Supporters of an E10 Option
Advocates including V. Anantha Nageswaran and Akash Poojari say E10 alongside E20 could protect older vehicles, particularly two-wheelers, while retrofit efforts continue.
Supporters of Continuing E20
The government says E20 is a superior and cleaner fuel and has rejected claims that it damages engine components.
Consumer choice
Supporters of an E10 Option
Offering E10 would give owners of older vehicles a lower-ethanol choice and could ease public concerns about E20’s effects.
Supporters of Continuing E20
The government has argued that returning to lower blends or offering multiple base fuels would be costly, inefficient and imprudent after major investments in E20.
Operational feasibility
Supporters of an E10 Option
BPCL says its existing infrastructure could handle changing the ethanol concentration and is examining whether another petrol grade can be supplied.
Supporters of Continuing E20
Oil-industry officials say selling E10 and E20 in large volumes would require an almost parallel distribution system and safeguards against cross-contamination.
Government involvement
Supporters of an E10 Option
Reports and BPCL’s statements describe preliminary exploratory discussions involving industry and government-related stakeholders.
Supporters of Continuing E20
Petroleum Ministry officials said there are no government discussions, and BPCL issued a clarification saying Khanna’s remarks were being misquoted as an E10 proposal.
Key facts
- E20 composition
- E20 petrol contains 20% ethanol and 80% petrol.
- Proposed option
- E10 petrol, containing 10% ethanol, could be offered alongside E20 for older vehicles.
- Decision status
- No concrete or final decision has been announced.
- Government position
- Petroleum Ministry officials said there are “absolutely no discussions in government” on the matter.
- Potential infrastructure needs
- Large-scale dual sales could require separate tanks, dispensers, blending processes, tankers and supply chains.
- Ethanol milestone
- India achieved 20% ethanol blending in petrol last year, five years ahead of the original deadline.
- Petrol consumption
- India consumed about 43 million tonnes of petrol in the last financial year.
- Vehicle compatibility
- Auto-industry insiders said petrol vehicles manufactured and sold after April 2023 are considered fully E20-compliant.
Quotes
V. Anantha Nageswaran and Akash Poojari
Chief Economic Adviser and consultant in the Department of Economic Affairs, respectively
“Restoring a lower blend at the pumps, say, E10, alongside the option to buy E20, would calm most public concern, lower total ethanol use instead of raising it, and protect the existing fleet while the retrofit programme catches up.”
indianexpress.com
“There could be an option being explored: can we have an E10 fuel for the older vehicle, which is what is being pursued right now”
indianexpress.com
financialexpress.com
Ministry of Petroleum and Natural Gas officials
Government officials responding to the reported E10 proposal
“It will be like introducing a new petrol variant altogether, that too in large volumes.”
indianexpress.com
“absolutely no discussions in government on the matter”
businesstoday.in
Sources
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