2 hrs ago
Alternative-Fuel Cars Outpace Petrol Sales in India Amid E20 Debate
In August, Indian buyers purchased slightly more alternative-fuel cars than petrol cars.
Alternative-fuel cars include vehicles powered by compressed natural gas, hybrids and electricity.
These vehicles made up about 42% of passenger-car sales, while petrol cars made up about 41%.
Some people are worried that E20 petrol, which contains 20% ethanol, may reduce fuel economy in older cars.
The government says some criticism of E20 includes wild claims.
Dealers say the change is also happening because there are more alternative-fuel models, electric cars can travel farther and charging stations are expanding.
Overall vehicle sales reached a record for August.
Dealers remain hopeful even though car prices and inventories have increased.
Alternative-fuel passenger vehicles accounted for nearly 42% of India’s August sales, versus about 41% for petrol cars.
Compressed natural gas, hybrid and electric vehicles were included in the alternative-fuel category.
FADA said E20 concerns, improved EV range, wider model choice and expanding charging infrastructure influenced the shift.
India’s automobile retail sales rose 17.5% year on year in August to a record 2.4 million vehicles.
Passenger-vehicle inventory rose to about 38–40 days, while Maruti Suzuki India announced price increases of up to 20,000 rupees on select models.
- Who
- Indian car buyers, the Federation of Automobile Dealers Associations (FADA), automakers and the government are involved.
- What
- Alternative-fuel passenger-vehicle sales exceeded petrol-vehicle sales in India in August for the first time, according to FADA.
- Where
- India.
- When
- In August; FADA reported the figures on Monday.
- Why
- The shift was linked to concerns about E20 petrol, higher oil prices, broader alternative-fuel choices, improved electric-vehicle range and expanding charging infrastructure.
Alternative-Fuel Transition
E20 Defense and Petrol Use
Reasons for changing buyer preferences
Alternative-Fuel Transition
FADA said concerns about E20 may have initially pushed buyers away from petrol, with the shift now supported by more alternative-fuel models, improved EV range and expanding charging infrastructure.
E20 Defense and Petrol Use
The government has dismissed the E20 backlash as involving wild claims and urged people not to believe what it called rage bait.
Impact of E20 petrol
Alternative-Fuel Transition
Owners of older vehicles have criticized E20 because they are concerned it could reduce fuel economy.
E20 Defense and Petrol Use
The government supports the transition from E10 to E20 as a way to reduce reliance on imported crude.
Key facts
- Alternative-fuel share
- Nearly 42% of passenger-vehicle sales in August
- Petrol share
- About 41% of passenger-vehicle sales in August
- Alternative fuels
- Compressed natural gas, hybrid and electric vehicles
- Retail sales
- 2.4 million vehicles in August, up 17.5% year on year
- E20 fuel
- Petrol containing 20% ethanol
- Vehicle inventory
- About 38–40 days, five days higher than at the end of July
- Maruti Suzuki price increase
- Up to 20,000 rupees on select models from September
Quotes
Sai Giridhar
Vice president of the Federation of Automobile Dealers Associations
“This shift was bound to happen”
deccanchronicle.com
Sources
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