Govt backing flex-fuel vehicles to boost ethanol blending, says advisor to PM Tarun Kapoor

New Delhi: The government has started supporting the sale and use of flexi-fuel vehicles as it prepares to increase ethanol blending in petrol, said Tarun Kapoor, advisor to the prime minister, on Wednesday.

Flex fuel vehicles (FFVs) not only enable cars to run on higher ethanol blends, but also give customers the flexibility to put whatever fuel is available.

ET was the first report on May 19 that the Centre is working on fast-tracking availability of E100 flex fuel, or fuel with up to 100% ethanol, as it looks to reduce crude imports.


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As part of the exercise, some 5,000 dispensing stations will be set up across the country over the next two years.

Addressing virtually the fourth edition of The India Sugar & Bio-Energy Conference 2026, Kapoor said, "Now our focus is on going into flexi-fuel vehicles and allowing blending at a percentage which will be higher than E20."

He said availability of pure ethanol at fuel outlets will need to be expanded alongside the rollout of such vehicles.

Kapoor said the push for biofuels has become more critical amid the West Asia crisis, which has disrupted supplies and raiser crude oil prices to nearly $100 a barrel. There are fears of a further increase. "It is important that we try to have whatever is available in the country," he said.

So far, the E20 programme has been "very successful", Kapoor said, adding that several automobile companies have announced plans to roll out flexi-fuel vehicles soon.