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India plans nationwide push for E85 flex-fuel vehicles to cut oil dependence

India is planning a nationwide push for flex-fuel vehicles supporting E85 (85% ethanol), moving beyond the current E20 programme. The policy aims to reduce crude import dependence, tackle oil price volatility, and strengthen energy security amid global geopolitical uncertainties affecting fuel markets.

New Delhi: The Centre is gearing up for a nationwide policy to promote flex-fuel vehicles that have capacity to run on E85—an ethanol blend of 85% ethanol and 15% petrol—as concerns over global oil supply and price volatility drive efforts to reduce dependence on crude imports.

According to a report, the proposed plan focuses on vehicles capable of running on blends up to E85, which contains 85% ethanol and 15% petrol. This signals a shift beyond the current E20 blending programme introduced in 2025, which had faced some consumer concerns over mileage and engine performance, The Economic Times reported.

Officials in the Ministry of Petroleum and Natural Gas are expected to review the roadmap in a meeting scheduled this week. The plan has been prepared by a working group comprising oil companies, automobile manufacturers and government representatives.

The recommendations will be presented to senior executives of state-run oil firms, members of the Society of Indian Automobile Manufacturers, and officials from key ministries as part of the decision-making process.

The move comes at a time when global oil markets remain uncertain due to geopolitical tensions. Crude prices have seen sharp fluctuations, recently crossing $100 per barrel before easing after a temporary ceasefire, though risks of further disruption remain.

Concerns have also increased following incidents near the Strait of Hormuz, a key global oil transit route, where vessels reportedly faced security issues.

With the transport sector accounting for a major share of fuel consumption, policymakers are focusing on diversifying fuel options. Officials believe expanding the use of ethanol-based fuels through flex-fuel vehicles could play a key role in improving India’s energy security and reducing reliance on imports.

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Source : Chinimandi

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