New Delhi: India’s ethanol blending programme remains safe, consumer-friendly, and economically beneficial, the government said, dismissing concerns that the use of E20 fuel could affect the validity of vehicle insurance policies.
The oil ministry, in a statement, said claims linking E20 fuel use to insurance invalidation had been clarified with relevant stakeholders and were found to be incorrect.
“Ethanol blending is a globally accepted practice and is successfully implemented in several countries, including the United States, Brazil, and Japan,” it said.
The government said the ethanol blending programme has helped India save more than Rs 1.4 lakh crore in foreign exchange by reducing crude oil imports.
It added that the programme has created sustained demand for agricultural feedstocks used in ethanol production, supporting farmers’ incomes and strengthening rural economy.
The government said it remains committed to implementing the programme “in a safe, transparent and consumer-centric manner, guided by scientific evidence and continuous stakeholder engagement.”
