India considers reintroducing E10 petrol via premium brands

The Indian petroleum ministry is in early-stage discussions with state-owned oil companies—Indian Oil, Bharat Petroleum, and Hindustan Petroleum—to potentially reintroduce E10 petrol. This move aims to address public dissatisfaction regarding the transition to E20 petrol, which contains 20% ethanol.

Motorists have expressed concerns that E20 fuel may negatively impact the mileage and engine compatibility of older vehicles. While Union Minister Nitin Gadkari noted that E20 can lead to a 2% to 6% reduction in fuel economy, he stated that engine durability tests have not shown issues.

To avoid the need for new storage and dispensing infrastructure, the government is evaluating the feasibility of offering 10% ethanol blends through existing premium 95-octane brands, such as XP95, Speed, and Power95. These premium fuels currently account for approximately 15% of oil marketing company sales, up from 4% in March, as drivers seek higher-octane alternatives. No final decision has been reached regarding whether consumers would prefer a premium E10 option or a cheaper, regular E10 alternative.