With the E85 fuel launched at an Indian Oil retail outlet in New Delhi last week, the Union government is pushing ethanol blending in fuel as a means to reduce import cost in times of present West Asia crisis, and reduce the dependence of fossil fuel.
The Central Government’s aggressive push for higher ethanol blending also falls in consonance with India’s net-zero greenhouse gas emissions by 2070.
Till now, the rollout has commenced across 48 Public Sector retail outlets in the country, enabling flex-fuel vehicle users to access this cleaner fuel.
At the launch event of E85 fuel in New Delhi, Union Minister for Petroleum and Natural gas Hardeep Singh Puri said, “Ethanol blending has increased from 1.53% in 2014 to 20% today, with the target achieved five years ahead of schedule, he stated that this transformation has helped save over ₹1.84 lakh crore in foreign exchange and substituted nearly 302 lakh metric tonnes of crude oil imports”. Ethanol blended petrol is also exempted from central excise duty,
At present, India accounts over 26 crore registered two-wheelers, making it the most dominant form of road transportation in the country. It is followed by approximately 50 lakh registered four-wheelers (including passenger cars, jeeps, taxis, and commercial goods carriers) on its roads.
Here, we break down the details surrounding E85 fuel and it’s cost impact:
What are E85 and E100 fuels?
The E85 and E100 are high-ethanol fuel blends, containing higher amount of anhydrous (water-free) ethanol. While E85 consists of 85% ethanol and 15% petrol, E100 contains 93–95% ethanol. Moreover, E85 fuel is introduced for use in flex-fuel vehicles. The initiative aims to facilitate the adoption of Flex-Fuel Vehicles (FFVs), which are capable of operating on ethanol blends from E20 to E100, without restricting consumers to a single blend.
Aiming for nationwide expansion, the E85 fuel would be available across 500 retail stores by December 2026 and about 5000 retails stores by December 2027. The petroleum ministry has mulled plans to raise India’s aggregate ethanol blending levels to nearly 26 per cent by 2030-31.
What are Flex-fuel vehicles?
A flex-fuel vehicle is typically understood as the one which holds the capability to run in different variants of fuel. In the present context, the FFVs should be able to run in E 20, E 85, and E 100 types of fuel. The vehicle’s engine and fuel system automatically detect the ethanol content and adjust fuel injection and ignition timing accordingly. The FFVs have special fuel sensors that can detect the fuel percentage in a vehicle. Later, the engine control software optimises performance for the specific quality of the fuel injected in the vehicle.
Additionally, these vehicles come with fuel system components that prevents corrosion from high ethanol concentration fuels.
Can regular vehicles (or E20 vehicles) use E85 fuel?
The straight answer is ‘No’. The reason being those vehicles must require a dedicated fuel-flex engines, with significant changes to the fuel system and engine calibration. The E20 compatible vehicle means the engine and fuel system are hardened enough to tolerate up to 20% ethanol mixed into regular petrol.
E85’s composition demands a completely different engine tune, larger injectors, ethanol-resistant materials throughout the fuel system, and sensors that can detect and adapt to the blend ratio on the fly.
Putting E85 into an E20-rated vehicle would risk lean running, fuel system corrosion, and engine damage over time.
For the unversed, vehicles manufactured under Bharat Stage VI (Phase-II) from April 23 are E20 compatible as mandated by the government.
Fuel-flex vehicles for consumers
The automobile industry in India is at a nascent stage in catering flex-fuel vehicles options for regular consumers. So far, Hero Motocorp, Suzuki, and Maruti Suzuki Motocorp have released fewer models, compliable with E85 fuel standards.
Fuel cost comparison: E85 vs Petrol
| Fuel | Price/Litre |
| E20 (regular petrol) | ₹102.12 |
| E85 | ₹82.12 |
E85 is priced ₹20 less than regular E20 petrol in Delhi. However, ethanol has lower energy density than petrol, so a flex-fuel engine burns more of it to cover the same distance. E85-compatible vehicles can be expected to be about 25–35% less fuel-efficient than an equivalent E20 vehicle.
| Type | Mileage | Cost per-/itre | Cost per/km |
| E20 | 15 km/l | ₹102.12 | ₹6.81 |
| E85 | 10.5–11.25 km/l | ₹82.12 | ₹7.30–7.82 |
As shown above, E85 actually costs more per kilometre under a regular fuel efficiency assumption.





