New Delhi: Union Road Transport Minister Nitin Gadkari on Tuesday dismissed the backlash against 20 percent ethanol-blended petrol as a “paid campaign”, but the claim leaves unanswered concerns about fuel efficiency, ownership costs and the transition for vehicles not originally designed for E20.
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Speaking at a CII event, Gadkari defended ethanol blending as a means of reducing fossil-fuel imports and saving foreign exchange. His remarks came a day after the government amended motor vehicle rules to facilitate flex-fuel vehicles capable of running on blends up to E100, or nearly pure ethanol.
“Three months ago, huge noise (khub halla) was made against the E20 (20 percent ethanol-blended petrol) fuel; now rage against E20 fuel is over...It was a paid campaign,” he said.
The account of his remarks did not identify who allegedly financed the campaign or provide evidence supporting the allegation.
Gadkari cited the operation of more than 20 crore two-wheelers and over 3 crore petrol cars on E19–E20 blends without verified evidence of widespread ethanol-related engine failures or breakdowns.
The government has also cited manufacturer service records to support its position that E20 has not caused widespread vehicle damage. That is relevant evidence against claims of systemic engine failure. It does not, however, establish that every vehicle faces unchanged mileage, maintenance requirements or running costs.
The distinction matters because the government’s own ethanol roadmap acknowledged fuel-efficiency losses. The June 2021 report estimated reductions of 6–7 percent for four-wheelers designed for pure petrol and calibrated for E10, and 3–4 percent for similarly configured two-wheelers. For four-wheelers designed for E10 and calibrated for E20, the estimate was lower, at 1–2 percent. These were category-specific estimates, not a prediction for every vehicle.
A government reply in Parliament has also acknowledged that some older vehicles may require earlier replacement of certain rubber parts and gaskets when using ethanol-blended fuel.
Reducing petroleum imports is a legitimate energy-security objective. But national foreign-exchange savings and household fuel savings are different measures.
At an unchanged pump price, lower mileage increases the cost of travelling the same distance. Illustratively, a 5 percent reduction in kilometres per litre raises fuel expenditure per kilometre by about 5.3 percent.
That makes transparent, model-specific testing important. Motorists need clear information on compatibility, expected mileage changes, component replacement and warranty coverage—not merely assurances that widespread breakdowns have not occurred.
The economics also require scrutiny. In August 2025, the petroleum ministry acknowledged that ethanol had become more expensive than petrol, while defending blending for its energy-security, agricultural and environmental benefits. That underlines why import substitution should not automatically be presented as cheaper motoring.
The latest regulatory change concerns vehicles specifically engineered for high-ethanol fuels. It does not make existing petrol or E20-compatible vehicles suitable for E100, nor does it resolve questions about the earlier fleet’s transition to E20.
For higher blends to gain consumer acceptance, fuel availability, vehicle pricing and cost per kilometre will matter alongside regulatory approval.
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At the same event, Gadkari said he had reviewed 700–800 highway projects following complaints about road conditions. He promised penalties for contractors, consultants and officials responsible for defects, supported by vehicle-mounted road-surveillance systems.
“I am not going to compromise on the quality of the highways,” he said.
On both highways and ethanol, the credibility test is measurable performance. Publishing testing results, addressing documented complaints and explaining who bears additional costs would provide a stronger defence of policy than questioning critics’ motives.
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