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Carmakers assure warranty cover for older vehicles using E20 fuel

Automakers are in the process of informing dealers about E20 usage in older cars and related guidelines

car sales

Aman Sahu New Delhi

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India’s auto industry lobby has said that carmakers will continue to honour warranties even if older vehicles, not originally designed for higher ethanol fuels, use E20 fuel, Reuters reported on Saturday.
 
The industry group confirmed that E20, fuel containing 20 per cent ethanol, is safe for use in vehicles previously prescribed for E5 or E10 fuels. Automakers are in the process of informing dealers about E20 usage in older cars and related guidelines.
 
In recent months, carmakers have shifted to offering only E20 fuel, replacing the earlier system of multiple fuel options at petrol pumps.
 
The debate over ethanol blending has intensified after several car owners reported lower fuel efficiency and engine problems. This raised concerns about whether automakers would honour warranties. At the same time, people have questioned the government about the transparency of ethanol blending in fuel.
   
Adding to these concerns, Union Minister for Road Transport and Highways Nitin Gadkari has said that the government will introduce guidelines for 27 per cent ethanol blending in petrol.
 
The government says E20 fuel helps reduce carbon emissions but has acknowledged that older cars may see a slight drop in fuel efficiency.
 
According to a report by Reuters, Automakers, facing slower sales and shortages of rare-earth magnets, have given mixed guidance on using E20 in older vehicles, which has frustrated many consumers. Meanwhile, a public interest petition challenging the move is scheduled to be heard in the Supreme Court on Monday.
 

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First Published: Aug 30 2025 | 7:30 PM IST

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