E20 fuel may lead to 3-5% mileage hit in 'some' vehicles, Govt. admits as it defends blending

📌 Summary:

• The government admitted that E20 (20% ethanol blended petrol) can cut fuel economy by 3-5% in "some vehicles"
• It defended the programme, explaining why E20 is not currently cheaper than pure petrol or lower-ethanol blends
• Core reason: the government seeks to compensate farmers adequately, so producing E20 becomes relatively more expensive than pure petrol whenever crude oil prices fall to around $70 a barrel
• Government stresses cleaner combustion and energy-security benefits (reduced crude import dependence) as offsetting the mileage trade-off

🎯 UPSC Relevance: GS3 Environment/Economy — the Ethanol Blending Programme, energy security, farmer incomes vs consumer costs, and the emissions vs efficiency trade-off

📝 Prelims Facts:

• E20 = petrol blended with 20% ethanol; India advanced its 20% ethanol blending target to 2025-26
• Ethanol in India is produced largely from sugarcane and surplus foodgrains
• Ethanol blending is coordinated under the National Policy on Biofuels

🔑 Key Term: Ethanol Blended Petrol (EBP) Programme — a scheme to blend ethanol with petrol to cut import dependence, curb emissions and support farm incomes