India Rules Out Ethanol-Blended Diesel Over Safety Failures

The Government of India has ruled out the wider adoption of ethanol-blended diesel after scientific evaluations revealed the fuel fails to meet critical safety specifications. Minister of State for Petroleum and Natural Gas Suresh Gopi informed Parliament that tests conducted by public-sector oil marketing companies, accredited laboratories, and automobile manufacturers found that ethanol drastically lowers the fuel's flash point, creating dangerous risks for storage, transportation, and handling.

While the government maintains a 20% ethanol blending target for petrol, the viability of E20 diesel remains uncertain. To utilize surplus domestic ethanol and reduce reliance on imported liquefied petroleum gas (LPG), the government is now exploring ethanol as a clean cooking fuel. The LPG Equipment Research Centre, a joint venture of Indian Oil Corp, Hindustan Petroleum Corp, and Bharat Petroleum Corp, is developing these alternatives.

As an alternative to ethanol, a pilot trial for diesel blended with 2% isobutanol is expected to begin in the second quarter of FY2027. Tata Motors Commercial Vehicles CEO Girish Wagh noted that isobutanol is more viable because its higher flash point keeps it within the same petroleum safety category as diesel.

Meanwhile, scientists and activists from the Delhi Science Forum have criticized the broader ethanol policy as disruptive. They argue the shift has transitioned Indian agriculture from food-oriented to fuel-oriented, forcing the country to import maize despite its previous status as an exporter.