New Delhi: Union Minister for Road Transport and Highways Nitin Gadkari on Thursday strongly defended the government’s 20% ethanol-blended petrol (E20) initiative, dismissing concerns over mileage loss and engine damage as “propaganda” by a “rich and powerful petrol lobby.”
Speaking at the 65th SIAM Annual Convention in New Delhi, Gadkari accused vested interests of running a “paid political campaign” against him personally, even as motorists and experts continue to debate the program’s impact.
E20 Rollout and Benefits
- Launched nationwide in April 2025, E20 blends 20% ethanol with 80% petrol.
- India achieved its 2030 blending target five years early, cutting into the ₹22 lakh crore fossil fuel import bill.
- Ethanol is sourced from sugarcane, maize, and rice, also boosting farm incomes.
- Farmers in Bihar and Uttar Pradesh, for example, saw maize prices rise from ₹1,200 to ₹2,600 per quintal.
“This is about import substitution, pollution reduction, and strengthening the rural economy,” Gadkari said.
Addressing Engine and Mileage Concerns
Critics and motorists have reported a 2–8% drop in mileage and fears of long-term engine wear in older vehicles.
Gadkari rebutted:
- ARAI testing: Older vehicles ran 100,000 km on E20 without issues.
- Mileage drop: Govt acknowledges 1–2% drop for new E20-calibrated vehicles and 3–6% for older ones.
- Global precedent: Brazil has used 27% ethanol blends successfully.
“Show me one vehicle anywhere in the world that had problems because of E20 petrol!” Gadkari challenged, citing ARAI and SIAM endorsements and the Supreme Court’s dismissal of a PIL questioning the program.
Political Firestorm
Congress spokesperson Pawan Khera alleged a conflict of interest, pointing to the rapid growth of Gadkari’s son Nikhil’s ethanol company, Cian Agro Industries, whose revenue reportedly surged from ₹17 crore in Q1 FY24 to ₹510 crore in Q1 FY26.
Gadkari dismissed the claims as baseless:
“My family’s businesses, including the Purti Group, operate legitimately and have even incurred losses.”
The Road Ahead
Despite criticism, Gadkari doubled down on his clean energy push, calling for wider adoption of methanol and 100% bio-ethanol.
“India’s auto industry must support this initiative for self-reliance and pollution control,” he urged.