Exclusive: OMC source says E30, E40 petrol likely, but pump choices unlikely

New Delhi: With the Ethanol-blending being increased, more and more questions are arising as to how the fuel will be dispensed, what happens to cars that are non-compatible and much more. There have been many controversies surrounding the efficiency drops and whether the fuels are actually damaging the engines and powertrains of the cars. 

There are many reasons that the government is increasing the ethanol blending, with one major being relief from steep fuel imports. The government has already brought E20 blended petrol or fuel with 20 per cent ethanol blending and issued a mandate that, effective April 1st, 2025, no petrol can be sold in the market without ethanol blending. If done, a particular OMC (Oil Marketing Company) is imposed with a fine. 

What you need to know about ethanol-blending

Even though the government hasn’t officially announced it, we know that a transition to E30 or E40 fuel is imminent, as per our sources from a top OMC. Consumers are unlikely to see multiple ethanol-blend options at fuel stations due to operational complexities. Instead of this, a uniform blending percentage across the country is expected for operational convenience and easier fuel distribution. 

Our source also said that there are no significant complaints regarding the current EBMS, or Ethanol-blended motor spirit fuel (technical name for ethanol-blended petrol).

One of the big concerns regarding the ethanol-blended fuel has been about its corrosive nature, particularly for fuel system components. To address this, Ethanol used in petrol blending is treated with corrosion inhibitors. 

The purpose of these additives is to protect automobile parts, including fuel lines, injectors and other fuel-system components from long-term damage. 

While E20 fuel can be used in vehicles designed for ethanol blends, E100 vehicles need a major engineering upgrade.

Our source further explained that ethanol in its pure form is highly corrosive, which means vehicles running on 100 per cent ethanol require specialised components, which include the likes of corrosion-resistant fuel lines, injectors, engine management systems and fuel tanks. 

This does mean that flex-fuel and E100-compatible vehicles require dedicated development rather than just simple recalibration. 

What is the situation with ethanol mixing in diesel?

Ethanol cannot be blended with diesel because the density of HSD or High Speed Diesel (technical term for the fuel) is higher. The answer here is biodiesel. Despite ethanol blending having gained pace in the country, biodiesel adoption remains relatively low. The diesel at present contains only a small percentage of biodiesel blending, estimated to be around 7 per cent. However, there are challenges in the biodiesel sector, facing supply constraints. 

Plus, sourcing B100 biodiesel remains a challenge in several regions. Owing to limited supply and low market demand, the growth in biodiesel adoption has been slower than that of ethanol-blended petrol. 

With the arrival of the Maruti Suzuki WagonR flex-fuel, the whole debate has come alive again. India’s ethanol programme has already seen one of the fastest blending rollouts across the world. Discussions for higher blends remain alive and could emerge soon. 

Any future transition will depend on vehicle compatibility, fuel infrastructure availability, regulatory approvals and feedstock availability as well. In the current scenario, the E20 is a benchmark, but it is clear that the country has a long-term biofuel ambition with higher ethanol blends closer than we might think.