No Intention to Increase Ethanol Blending Beyond 20 Percent

New Delhi. The Union Minister of Petroleum and Natural Gas has stated that the government currently has no intention of increasing the ethanol blending level in petrol beyond 20 percent, nor is any such proposal under consideration. Furthermore, for the 2026-27 marketing season, the government has prohibited the use of sugarcane juice, sugar syrup, and B-heavy molasses in ethanol production, which will lead to a significant reduction in the total output of ethanol.

The Petroleum Minister noted that misleading information is being circulated regarding biofuels. The government’s objective behind maintaining ethanol blending in petrol is to expand clean and green energy sources within the country and to reduce dependence on large-scale imports of crude oil from abroad. India currently spends a substantial amount of its precious foreign exchange on petroleum imports.

The program to blend 20 percent ethanol in petrol is helping to achieve both of these goals, thereby contributing to the conservation of valuable foreign exchange. The target of 20 percent ethanol blending is set to be achieved by the 2025-26 marketing season, and there are no plans to increase this target. The expected decline in domestic ethanol production for the 2026-27 marketing season (November–October) may also be a factor in the decision not to raise the target.