AIDA Urges Govt to Raise Ethanol Blending Beyond 20 Percent
Ethanol blending at 20% is done. Now AIDA wants 30% and flex-fuel cars. Also ethanol stoves for rural India. Here's the industry's pitch to Nitin Gadkari.
The All India Distillers' Association (AIDA) has written to Union Minister Nitin Gadkari seeking accelerated policy action on ethanol usage. The industry body has proposed increasing ethanol blending in petrol beyond the current 20% level. It has also called for fast-tracking the adoption of flex-fuel vehicles. The letter cites rising geopolitical uncertainties and crude oil price volatility as key reasons.
India Achieved E20 Target Ahead of Schedule
AIDA highlighted that India has already achieved its E20 ethanol blending target ahead of schedule. The association credited government policy support and industry efforts for this achievement. However, it warned that ongoing tensions in the Middle East could strain India's energy security. The resulting upward pressure on oil prices is a growing concern for the economy.
Increasing Blending to 30% Could Cut Oil Imports
AIDA stated that increasing blending levels from 20% to 30% could significantly reduce crude oil imports. The association positioned ethanol as a strategic solution for India's energy security. It strongly advocated for the introduction of flex-fuel vehicles capable of running on 100% ethanol. This model is already widely used in Brazil. Higher blending targets require sustained demand, which flex-fuel vehicles would provide.
Ethanol-Based Cooking Solutions Proposed
The association recommended expanding ethanol's role beyond transport fuels. It proposed introducing ethanol-based cooking solutions for domestic and commercial use. This includes ethanol burners as a cleaner alternative fuel. Such applications would be particularly useful in semi-urban and rural areas. They could also help address indoor air pollution while diversifying energy sources.
Ethanol Blending in Diesel Suggested
AIDA suggested exploring ethanol blending in diesel as a potential measure. This could help contain fuel costs and broaden the scope of ethanol utilisation. The association emphasized the need for a supportive ecosystem around higher ethanol blends.
Accelerating Flex-Fuel Vehicle Rollout Critical
AIDA underscored the importance of accelerating the rollout of flex-fuel vehicles capable of operating on higher ethanol blends, including E85 and above. This would be critical in ensuring long-term demand stability for ethanol producers. The association has sought an opportunity to present a detailed roadmap and industry perspective to the ministry. It outlined how these measures could collectively strengthen India's energy security while advancing its clean energy transition.
Also Read : Eicher Will Hike Its Vehicle Prices Up to 3% from April 1, 2026
