Topic
ethanol
Commodities India Waives Excise Duty on Ethanol-Blended Petrol to Boost Cleaner Fuel Use
India has waived excise duty on ethanol-blended petrol (E22, E25, E27, E30) to promote cleaner fuel and reduce crude oil imports. The government plans to establish 500 ethanol fuel stations by end-2026, with initial rollout in Delhi-NCR, Pune, Mumbai, and Nagpur. The move comes as global crude prices surged above $100 per barrel due to the ongoing Middle East conflict, pushing domestic fuel prices up by over Rs 7.5 per litre.
Commodities From E20 to E85: India’s strategic leap in sustainable fuel blending
India's ethanol blending programme has evolved from a fragmented initiative into a comprehensive national strategy integrating energy security, agriculture, and industry. The coordinated rollout of E20 and introduction of E85 fuels, backed by inter-ministerial cooperation and feedstock diversification, is reshaping the country's fuel landscape.
Commodities India Clears E100 Fuel Framework, Accelerating Ethanol Vehicle Rollout and Impor
India has approved the regulatory framework for 100% ethanol (E100) as a vehicular fuel, enabling the commercial deployment of ethanol-powered cars and two-wheelers. The move, announced by Union Minister Nitin Gadkari, aims to reduce India's dependence on imported crude oil (over 85% imports) and create new demand for agricultural feedstocks, while giving automakers regulatory certainty to invest in flex-fuel platforms.
India ethanol push needs uniform policies and consumer trust: AIDA
India's Ethanol Blending Programme requires standardised state-level taxes and consumer education to succeed, according to the All India Distillers’ Association. With installed capacity of 2,000 crore litres and demand at 1,434 crore litres, the industry holds a surplus of 566 crore litres. Excise duty exemptions on higher blends (E22 to E30) aim to curb crude oil imports, but consumer concerns over mileage persist.
Commodities India Exempts Higher Ethanol Blend Grades from Excise Duty
The Central Board of Indirect Taxes and Customs (CBIC) has issued notifications exempting ethanol blended petrol grades E22, E25, E27, and E30 from central excise duties, provided excise duty has already been paid on petrol and GST on ethanol. The move mirrors existing treatment for lower blends and aims to avoid double taxation, according to officials. Joint Secretary Sujata Sharma stated it is a preliminary prerequisite for eventual introduction of higher blends after extensive testing.
Commodities India Considers Delaying Higher Ethanol Mandate
India's government is considering delaying the increase in ethanol blending from E20 to E25 due to concerns about vehicle compatibility. Most vehicles manufactured before 2025 are not fully compliant with higher ethanol blends, potentially impacting mileage and maintenance costs.
Commodities India's Ethanol Push: E85 Fuel Price Drops by Rs 20/Litre
India is set to reduce the price of E85 fuel by Rs 20 per litre as part of its ethanol adoption strategy. This move aims to compensate for the lower energy content of ethanol and reduce fossil fuel imports.
Commodities Ethanol Prices and Flex Fuel Vehicles: A Market Shift
Ethanol demand is poised to rise as India reduces the cost of high-ethanol blended fuels and flex fuel vehicles. The government's efforts to cut GST rates and promote FFVs aim to decrease crude oil imports.
Commodities India's Ethanol Expansion: 5,000 Stations by 2027
India is set to expand its ethanol fuel network with 5,000 stations by 2027, reducing reliance on imported fossil fuels. The initiative aims to boost ethanol-compatible vehicles and benefit farmers.
Commodities India's Ethanol Expansion Reshapes Agriculture and Energy Markets
India's ethanol blending initiative has significantly increased farmland dedicated to fuel production, reshaping agricultural practices and impacting energy markets. The shift from sugarcane to grain-based ethanol, particularly maize and rice, has altered crop choices and raised concerns over food availability.