Topic
petrol
Manufacturing India's transport, petroleum ministries disagree on E20 mileage loss: 2-6% vs 3-5%
India's road transport ministry and petroleum ministry have given different official estimates of the fuel-efficiency loss when E20 petrol is used in vehicles designed for E10. The transport ministry cited a 2-6% reduction based on an ARAI-SIAM-Indian Oil study, while the petroleum ministry said it is generally 3-5%. Both ministries pointed to driving conditions, habits and maintenance as key variables.
Commodities E20 Petrol Debate: Indian Government Debunks 7 Claims on Ethanol Blended Fuel, Impact on Mileage and Engines
The Indian government has issued a seven-point clarification refuting 'misleading claims' about E20 petrol, including that pre-2023 vehicles cannot use it and that 30 crore vehicles will become unusable. Minister Nitin Gadkari acknowledged a 2-6% fuel efficiency drop but said no engine failures have been recorded. Automotive companies including Maruti Suzuki and Toyota have voiced support.
Commodities E20 Controversy: Why India's Ethanol Blending Roadmap Is Back in Spotlight
India's nationwide rollout of mandatory 20% ethanol-blended petrol (E20) in April 2025 has triggered a political row, with opponents citing a 2021 NITI Aayog report that recommended a phased transition. The controversy intensified after Attorney General R Venkataramani called E20 an 'experiment' during a Supreme Court hearing, raising concerns over vehicle compatibility and fuel efficiency.
Commodities India Reaches 20% Ethanol Blending Milestone as Govt Issues FAQs on E20 Fuel Concerns
India has reached 20% ethanol blending in petrol as of April 2025, five years ahead of target. The government released FAQs to address public concerns about fuel economy, performance, and vehicle damage, detailing the long history and supply build-up behind the policy.
Commodities India's E20 Petrol Costlier to Produce Than Pure Petrol at Current Crude Prices, Government Says
The Indian petroleum ministry stated that E20 petrol is currently costlier to produce than pure petrol at prevailing global crude oil prices around $70 per barrel, but the ethanol blending program has saved over Rs 1.97 lakh crore in foreign exchange and reduced crude imports. The economics reverse when crude rises to $120-130 per barrel. The government dismissed claims of engine damage from E20 fuel.
Trade Indian Government Denies Offering E20 Petrol Exports to Bhutan, Calls Reports Incorrect
The Indian Ministry of Petroleum and Natural Gas dismissed reports that Bhutan had refused to import E20 petrol from India, stating no such offer was ever made. The clarification followed allegations by the Congress party that Bhutan, Nepal, Bangladesh, and Sri Lanka had rejected India's ethanol-blended fuel. The government also defended the fuel's reliability, citing extensive testing by Indian institutions.
Commodities Oil marketing companies hesitant to expand E85 rollout amid E20 petrol debate
Indian oil marketing companies are reluctant to expand E85 fuel outlets due to poor demand from a previous E100 pilot, pricing disadvantages, and limited flex-fuel vehicle penetration. The government aims for 500 flex-fuel stations by December 2026 and 5,000 by 2027, but only 48 currently dispense E85. A CEEW report notes ethanol is 15-25% more expensive on an operating cost basis than petrol.
Commodities OMCs to Break Even on Petrol, Diesel in 7–10 Days as Brent Crude Falls to $72
Global crude oil prices have dropped to four-month lows, with Brent around $72/bbl, offering relief to Indian OMCs that could break even on petrol and diesel within 7–10 days. OPEC+ announced a 188,000 bpd output hike for August, the fifth consecutive monthly increase since the West Asia conflict began. State-run OMCs have absorbed over Rs 75,000 crore in losses in Q1, but lower crude prices and rising supply may enable recovery over 6–12 months.
Commodities Crude Oil Plunges to Pre-War Levels on US-Iran Ceasefire, India Fuel Price Cut in Doubt
Global crude oil prices have crashed to a four-month low, hovering around $70 per barrel amid the US-Iran ceasefire and reopening of the Strait of Hormuz. While this has sparked expectations of petrol and diesel price cuts in India, experts say a reduction is unlikely soon due to government fiscal priorities and the need for oil marketing companies to recover past losses.
Commodities Nayara Energy cuts petrol by Rs 5/litre and diesel by Rs 3/litre in first fuel price reduction in over 2 years
Nayara Energy, India's largest private fuel retailer, reduced petrol and diesel prices by Rs 5 and Rs 3 per litre respectively, marking the first retail fuel price cut in over two years. The move follows easing Middle East tensions and lower global crude prices. State-run retailers IOC, BPCL, and HPCL have not matched the cuts.
Commodities India Defends E20 Petrol Against Viral Claims, Pushes Ethanol Roadmap Towards E100 Ecosystem
The Ministry of Petroleum and Natural Gas defended E20 petrol against viral claims, calling them misleading and unsubstantiated. India has achieved 20% ethanol blending ahead of schedule and is now pushing towards an E100 ecosystem with flex-fuel vehicles, aiming to reduce crude oil imports and boost farmer incomes.
Commodities US President Donald Trump orders DOJ probe into petrol price gouging as oil prices fall
President Donald Trump announced Wednesday that he has ordered the Department of Justice to investigate major energy companies for petrol price gouging, accusing them of not cutting pump prices in line with falling crude oil costs. Brent crude has dropped to around $76 a barrel from nearly $120 in May, yet the average US gasoline price remains at $3.90 per gallon, well above pre-conflict levels.
UK petrol and diesel prices fall after US-Iran deal, further drops expected
UK fuel prices have fallen sharply after the US and Iran reached a framework deal to end their war, sending Brent crude to around $76 a barrel. The RAC reports petrol at 154.7p and diesel at 174.3p, with further declines expected as wholesale costs drop.
Commodities India's Oil Minister Says Petrol, Diesel Rates May Ease as Cheaper Crude Arrives
Union Petroleum Minister Hardeep Singh Puri indicated that petrol and diesel prices could be reduced when lower-priced crude oil purchased recently reaches Indian refiners. Speaking in Sonbhadra, Uttar Pradesh, he noted that oil marketing companies are currently processing higher-cost crude and losing about Rs 1,000 crore per day, but the government has shielded consumers from the full impact of global volatility.
Commodities Govt Says All Refineries Operating at High Capacity with Adequate Crude Inventories and Sufficient Stocks of Petrol, Diesel
The Indian government announced that all refineries are operating at high capacity with adequate crude inventories and sufficient stocks of petrol and diesel. Joint Secretary Sujata Sharma detailed LPG delivery figures, restrictions on bulk purchases of petrol and diesel, and fertilizer stock positions. Additionally, an LNG carrier safely transited the Strait of Hormuz.
Commodities Brent Crude Falls to $83 on US-Iran Deal, UK Petrol Prices Set to Drop Further
Brent crude oil prices have fallen to around $83 a barrel following a US-Iran framework deal that ended the war and raised hopes for reopening the Strait of Hormuz. UK petrol prices, which peaked at 159.53p on 28 May during the conflict, have started declining, with the RAC forecasting a further drop to 148p if oil stabilises around $85. The article details the impact of the war on global oil flows and UK retail fuel costs.
Commodities India Bars Industrial Users from Buying Petrol, Diesel at Retail Pumps, Mandates Bulk Purchase
India's Ministry of Petroleum and Natural Gas issued an order barring industrial, commercial, and institutional users from purchasing petrol and diesel at retail fuel outlets, requiring them to switch to bulk sellers. The move addresses abnormal demand driven by a price gap between retail (Rs 95.20/litre for diesel in Delhi) and bulk prices (Rs 134.50/litre). Retail diesel purchases are capped at 200 litres per day. The order, effective for 90 days, aims to prevent localised shortages amid geopolitical supply disruptions.
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.
India restricts diesel and petrol sales at retail pumps for bulk users
India has restricted institutional and commercial customers from buying motor spirit and high-speed diesel at retail outlets, directing them to source from their own consumer pumps. The order also caps retail high-speed diesel sales at 200 litres per day per customer for up to 90 days.
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 Crude Oil Price Surge: Impact on Inflation and Transport Costs
Crude oil prices on the NYMEX have surged to $112 per barrel, impacting inflation and transport costs. Crisil warns of potential increases in CPI inflation by up to 48 basis points.
Logistics Transporters Urge Fuel Price Cut Amid Crude Oil Drop
The All India Motor & Goods Transport Association (AIMGTA) has called on the Indian government to reduce petrol and diesel prices following a drop in crude oil prices to $90 per barrel. This move aims to alleviate pressure on transport operators and reduce logistics costs.