Hyderabad: India launched E85 fuel as part of its efforts to promote ethanol-based energy, reduce dependence on crude oil imports and strengthen environmental sustainability.
Union Petroleum and Natural Gas Minister Hardeep Singh Puri formally launched the fuel at an Indian Oil Corporation retail outlet in New Delhi on World Environment Day 2026.
The new fuel contains 80-85 per cent ethanol and 14-19 per cent petrol.
Officials designed it specifically for vehicles equipped with flex-fuel engines.
E85 fuel to expand across retail outlets
The government priced E85 fuel at around Rs 20 less per litre than conventional petrol.
Public sector oil marketing companies have made the fuel available at 48 retail outlets across the country.
Meanwhile, the government plans to expand availability in phases.
Officials aim to offer E85 fuel at 500 retail outlets by the end of this year.
They also plan to extend coverage to 5,000 outlets by December 2027.
Speaking at the launch, Puri said India had successfully balanced energy availability, affordability and sustainability.
He noted that the country achieved 20 per cent ethanol blending five years ahead of schedule.
According to the minister, the ethanol blending programme has helped India save foreign exchange worth Rs 1.84 lakh crore.
The initiative also reduced crude oil imports by nearly 302 lakh metric tonnes.
Puri said the programme had transformed farmers from food providers into contributors to the country’s energy security.
He clarified that only flex-fuel vehicles can use E85 fuel.
The minister also noted that E20 fuel has not recorded a single engine failure across the country so far.
Officials estimate that flex-fuel vehicles and E85 fuel can reduce carbon emissions by up to 61 per cent.
Puri urged state governments to support the technology through favourable taxation policies.
He said every litre of ethanol reduces dependence on imported fossil fuels and strengthens the vision of an Atmanirbhar Bharat.