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India plans 5,000 E100 fuel stations to cut oil imports

India plans to establish 5,000 E100 fuel stations within two years to reduce crude oil imports worth nearly ₹10.9 lakh crore annually. The rollout will begin with 150 stations in major cities, expanding gradually nationwide, while automakers push for lower E100 pricing due to reduced fuel efficiency.

India is planning to establish 5,000 E100 fuel stations over the next two years as part of efforts to reduce dependence on imported crude oil.

The move comes amid rising concerns over high oil imports and the increasing outflow of foreign exchange. According to reports, the Ministry of Petroleum and Natural Gas has begun discussions with stakeholders, including automobile manufacturers and oil marketing companies, to prepare a roadmap for expanding E100 fuel infrastructure across the country, The Free Press Journal reported.

In the first phase, around 150 E100 fuel stations are expected to be set up in cities such as Delhi, Mumbai, Pune and Nagpur. Over the following six to twelve months, the infrastructure will be expanded to Bengaluru, Chennai, Kolkata and Hyderabad, along with wider coverage in Delhi-NCR and Maharashtra.

During this stage, another 500 E100 retail outlets are expected to become operational. The government aims to scale the network to 5,000 fuel stations within 24 months.

India imported crude oil worth nearly ₹10.9 lakh crore during the last financial year. The government has already mandated the sale of E20 blended fuel at fuel stations nationwide, and the expansion of E100 fuel is expected to further reduce the country’s oil import bill.

E100 fuel contains nearly 100 percent ethanol, unlike the current fuel sold at retail outlets, which contains 20 percent ethanol blending. Industry experts believe greater adoption of ethanol-based fuel could support India’s renewable energy and bioenergy goals while reducing reliance on fossil fuels.

However, automobile manufacturers have urged the government to ensure E100 fuel is priced nearly 30 percent lower than regular petrol because ethanol-based fuel delivers lower fuel efficiency.

According to reports, major carmakers and two-wheeler manufacturers in India already have flex-fuel vehicle prototypes ready for launch. However, commercial rollout has remained limited due to the lack of large-scale E100 infrastructure and uncertainty over regulations.

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Source : ChiniMandi

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