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E25 shift should come before flex-fuel move: PMO advisor Tarun Kapoor

PM's adviser says ethanol blending should rise to E25 before India transitions to flex-fuel vehicles and E100, while electric mobility remains central to energy security

Tarun Kapoor

Kapoor said the shift would have to be led primarily by electric mobility, with biofuels playing a complementary role

Saket Kumar

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India should eventually raise ethanol blending in petrol from the current E20 level to E25 before transitioning towards flex-fuel vehicles and E100 fuel, Tarun Kapoor, adviser to Prime Minister Narendra Modi, said on Friday, outlining what he described as the next phase of the country's effort to reduce dependence on imported fossil fuels.
 
Speaking at the 6th World Environment Day Conference organised by the Society of Indian Automobile Manufacturers (Siam), Kapoor said India's ethanol blending programme had emerged as one of the country's major achievements and was now recognised globally.
 
“We are at E20 now, and we have not gone beyond E20 because we want this whole thing to stabilise a bit. Ultimately, I think we should go to E25, then put a full stop and then move towards flex-fuel and make available E100,” Kapoor said.
 
 
The remarks come as the government steps up efforts to improve energy security amid heightened geopolitical uncertainties and volatility in global crude oil markets.
 
Referring to the ongoing crisis in West Asia, Kapoor said recent developments had reinforced the need for India to become more self-reliant in energy. A sharp rise in crude oil prices could have a significant impact on the economy, he said, adding that transport remains one of the largest consumers of fossil fuels and would need to undergo a rapid transition.
 
Kapoor said the shift would have to be led primarily by electric mobility, with biofuels playing a complementary role. Electric mobility would have to lead the transport sector's transition away from fossil fuels, Kapoor added.
 
He said electric two-wheelers (e2Ws) had made progress but needed to grow much faster, while adoption in passenger vehicles would require lower prices, better financing options and expanded charging infrastructure. Kapoor also identified buses and trucks as sectors where faster electrification could have a major impact.
 
Kapoor said a substantial allocation for charging infrastructure remained available under existing schemes, and added that the Ministry of Heavy Industries (MHI) had identified around 60 highways for the development of charging facilities aimed at supporting electric trucks.
 
He said electric trucks and buses could deliver a significant impact because diesel consumption in India is roughly twice that of petrol. The government is already supporting a pilot programme for electric trucks and intends to expand deployment in the coming years, he added.
 
Kapoor also disclosed that experiments were underway on blending isobutanol with diesel, which could provide another pathway to reduce fossil-fuel consumption. “If it succeeds, then probably we will introduce isobutanol blending in diesel,” he said, adding that the fuel could be produced using feedstock and infrastructure similar to those used for ethanol production.
 
On compressed biogas (CBG), Kapoor acknowledged that the sector had not achieved the expected scale, with only around 150 plants operational and many facing viability challenges. However, he said the government remained committed to the sector and was working on additional support measures.
 
“One new scheme is also being planned to support this,” Kapoor said, adding that domestic biomass resources could potentially meet at least 10 per cent of the country's natural gas requirements.
 

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First Published: Jun 05 2026 | 9:46 PM IST