Archive · 1 Sep 2026
FADA Chief Says E20 Safe; Older Cars May Lose Mileage
E20 is regular petrol mixed with 20 percent ethanol.
Sai Giridhar, the head of FADA, said it is safe for most vehicles.
Cars launched in India from 2023 are designed to use E20.
Older cars probably will not have major problems, but some may travel fewer kilometres per litre.
Car owners had asked whether the fuel could hurt their vehicles.
Giridhar said manufacturers have given dealers instructions to answer these questions.
He also said rural areas are becoming an important source of car sales.
He believes India may reach or exceed its electric-vehicle goal for 2030.
He wants vehicle registration and ownership-transfer rules to become easier for dealers and buyers.
FADA President Sai Giridhar said E20 is regular petrol blended with 20% ethanol and does not generally harm vehicles.
Cars launched in India from 2023 are E20-compliant, while older vehicles are unlikely to face major problems.
Vehicles roughly 10 to 15 years old may experience lower mileage when using E20 petrol.
Giridhar said manufacturers have provided dealerships with procedures for answering customer questions about E20.
After becoming FADA president for 2026–28, Giridhar highlighted rural demand, electric vehicles and simpler dealer regulations.
- Who
- Sai Giridhar, president of the Federation of Automobile Dealers Associations, discussed E20 and the automobile market.
- What
- Giridhar said E20 is generally safe for vehicles, while some older cars may experience lower mileage; he also outlined priorities for FADA’s 2026–28 term.
- When
- The first comments were made around the FADA 8th Auto Retail Conclave; a separate report said Giridhar was appointed on Tuesday for the 2026–28 term, without specifying a calendar date.
- Where
- New Delhi, on the sidelines of the FADA 8th Auto Retail Conclave; Giridhar’s dealership business is based in Jaipur.
- Why
- He sought to address concerns about E20 and discussed automobile demand, electric-vehicle adoption and regulatory changes for dealers.
Consumer Concerns
FADA Assessment
Impact on vehicles
Consumer Concerns
Vehicle owners have raised concerns that higher ethanol blending could affect performance, fuel efficiency or compatibility, particularly in older vehicles.
FADA Assessment
Sai Giridhar said E20 does not pose a problem for vehicles, while acknowledging that some legacy cars may experience lower mileage.
Dealer readiness
Consumer Concerns
Dealers were initially not adequately prepared to answer customer questions about E20.
FADA Assessment
Giridhar said manufacturers have since provided standard operating procedures so dealerships can respond professionally and scientifically.
Electric-vehicle target
Consumer Concerns
Giridhar said that four or five months earlier he would have considered the government’s 30% EV-penetration target for 2030 highly unlikely.
FADA Assessment
He now considers the target feasible and said India may exceed it.
- Fuel composition
- E20 petrol contains 20% ethanol blended with regular petrol.
- Vehicle compliance
- Vehicles launched in India from 2023 are described as E20-compliant.
- Potential mileage impact
- Cars about 10, 12 or 15 years old may experience lower mileage.
- Dealer guidance
- Original equipment manufacturers have shared standard operating procedures with dealerships to address E20 questions.
- FADA appointment
- Sai Giridhar was appointed FADA president for the 2026–28 term and succeeded CS Vigneshwar.
- Rural demand
- Giridhar said rural markets had recorded strong month-on-month growth over the previous six months.
- Electric-vehicle outlook
- He said the government’s target of 30% electric-vehicle penetration by 2030 now appears achievable and may be exceeded.
- Regulatory proposals
- Giridhar called for paperless registration, simpler used-vehicle ownership transfers and one state, one trade certificate.
