No policy formulated to incentivize vehicles blended with over 20% ethanol: Heavy Industries Ministry

New Delhi: The Ministry of Heavy Industries on Tuesday said it has not formulated any separate phased national policy to incentivise flex-fuel vehicles operating on fuel blended with "more than 20 per cent ethanol".

The Heavy Industries Ministry also stated that it has not conducted any study regarding incentivization of flex-fuel and electric vehicles.

The Centre has defended its ethanol blending programme, saying extensive testing and large-scale field experience had found no evidence that E20 (blended with 20 per cent ethanol) petrol causes abnormal engine wear, corrosion or reduced vehicle life.


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It has also argued that the programme has strengthened India's energy security and helped cushion consumers from global oil price volatility.

"The government has adopted a balanced approach to the Ethanol Blended Petrol (EBP) Programme, ensuring that water sustainability, food security and farmers' interests remain paramount," the ministry said.

Under the National Policy on Biofuels, ethanol is produced from multiple approved feedstocks, including sugarcane-based feedstocks, maize, damaged foodgrains, broken rice, foodgrains unfit for human consumption, surplus foodgrains approved by the National Biofuel Coordination Committee (NBCC) and other approved agricultural feedstocks, it added.

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It highlighted that an Expert Committee constituted by Ministry of Agriculture & Farmers Welfare in 2024 examined the water requirement of various ethanol feedstock crops & its recommendations are being considered while implementing the blending programme.