The government is likely to introduce E85 oil, a gasoline blended with a much higher percentage of ethanol, by the end of the year to reduce costly oil imports, after a series of consultations with Indian carmakers that have told authorities they are fully equipped with the technologies needed to make flex-fuel cars. The offering comes after confirmation from automakers that they can produce vehicles capable of running on high ethanol blends, two people familiar with the matter said.
E85 gasoline contains 85% ethanol and 15% gasoline. Flex-fuel vehicles are designed to run on any blend of ethanol and gasoline – from E20 to E100 – with on-board sensors automatically adjusting fuel injection and ignition parameters.
Consumers will have a choice of which cars they buy depending on the level of blended fuel they prefer, one of the two people said, as India aims to bring in a biofuel policy that will provide multiple blends of petrol at petrol stations.
In other words, this fuel will be sold alongside existing gasoline with a lower ethanol blend. At present, India has E20 gasoline (20% ethanol blend) available across the country.
The Bureau of Indian Standards, the national quality regulator, has prepared standards for E85 gasoline. Mixers and strainers must adhere to these specifications. The office also aims to issue E22, E25 and E26 standards by April 30, which are intended for gasoline containing 22%, 25% and 26% ethanol, respectively.
Brazil, the world’s largest sugar producer, launched the world’s most mature flexible fuel program in 2003; A large proportion of new cars sold there are flex-fuel capable, running on blends up to E100, with life-cycle carbon reductions of up to 90% compared to fossil gasoline. Ethanol is derived from molasses, a byproduct of sugar refining. India is the second largest sweetener producer in the world.
The second person said: “The rapid shift to higher fuel blends is aimed at ensuring energy security at a time of continuing geopolitical uncertainty. The move towards higher blends of ethanol will save oil imports. It will also increase farmers’ incomes.”
The decision to start the E85 program comes after a series of meetings with automakers and ethanol producers. Indian distilleries currently have a combined capacity to produce 20 billion liters of ethanol, against the current demand of about 10 billion litres. Mixing high will help absorb the excess.
Car companies are ready to launch flex-fuel cars, which emit much less carbon, said Vikram Gulati, country president of Toyota Kirloskar Motor, who demonstrated a sedan version to a visiting media team in December last year at a factory of the Triveni Group, one of the country’s largest ethanol producers.
Modi’s government in 2021 advanced the goal of blending gasoline with 20% ethanol for five years until 2025 – known as the E20 program – as a strategy to cut emissions and save up to $4 billion in oil imports annually. This goal was achieved in July last year.
“India has an inherent advantage in ethanol production due to its unique ecosystem that connects farmers and millers in historic partnerships,” said Deepak Palani, Director General, Indian Sugar and Bioenergy Manufacturers Association (ISMA).
