Mentioning ethanol levels not 'considered necessary' on receipts: Gadkari

Road Transport Minister says E20 is the only petrol sold at retail outlets nationwide, making separate display of ethanol blending levels unnecessary

There is no need to mention ethanol-blending levels on customer receipts at petrol stations as the 20 per cent blend is the only kind of petrol widely available across the country, Nitin Gadkari, Union minister of road transport and highways, told the Lok Sabha on Thursday. 

“Public-sector OMCs (oil marketing companies) have informed that currently normal petrol sold at their retail outlets across the country is E20. Since E0 or E10 petrol is not marketed at retail outlets, separate display of lower ethanol blends or printing of ethanol percentage on customer receipts has not been considered necessary,” Gadkari said in a written reply.

The minister said retail outlets, however, prominently label dispensing units that sell E85 petrol (85 per cent ethanol blended with 15 per cent petrol). 

E85  was launched in June by Union Petroleum Minister Hardeep Singh Puri, but it can only be used in flex-fuel vehicles (FFVs). Out of an estimated 100,000 fuel outlets in India, only around 48 sell E85. 

Ethanol blending with petrol is being widely criticised by customers over concerns that some vehicles, particularly older models, could face faster component wear, lower fuel efficiency and higher maintenance costs, as they were not designed for E20 fuel.

Meanwhile, the government has ruled out selling pure petrol or E10 alongside E20 on account of the huge investments made in the sector by public sector banks and other related industries. 

The government also denied claims that automobile manufacturers were being forced to support E20 or had privately indicated that E20 was undesirable. Senior executives from Toyota Kirloskar, Maruti Suzuki, Hero MotoCorp, Hyundai Motor India, TVS Motor Company and Bajaj Auto have showed confidence in E20, it added. 

“They (automobile manufacturers) cannot conceal widespread vehicle defects without exposing themselves to warranty claims, product liability, regulatory action and serious reputational damage. Manufacturers continue to honour warranties for E20-compatible vehicles, something they would not do if they believed E20 was causing systemic engine damage. Warranty decisions are based on engineering validation and field experience and not political considerations,”the government said in a press release. 

In a written reply to a question in Lok Sabha, Minister of State for Petroleum and Natural Gas Suresh Gopi said the Ethanol Blended Petrol (EBP) programme had been implemented through a phased and scientifically validated process in consultation with the NITI Aayog, automobile manufacturers, the Automotive Research Association of India (ARAI), the Society of Indian Automobile Manufacturers (Siam), Oil Marketing Companies (OMCs) and other technical institutions. 

Gopi said extensive laboratory studies and field trials have confirmed that E20 is safe for use under prescribed standards, adding that legacy vehicles do not exhibit any significant variation in performance or abnormal wear and tear due to E20. 

The government has acknowledged that E20 petrol reduces vehicle mileage by 3-5 per cent compared with conventional petrol. It said, however, that the blend offers a higher octane rating, better anti-knock performance, faster combustion, improved pickup, smoother acceleration and cleaner engine operation.