Centre launches E85 fuel at 48 outlets; rollout to expand nationwide

New Delhi: Union Petroleum Minister Hardeep Singh Puri on Thursday launched E85 fuel at an IndianOil outlet in New Delhi, marking a major step towards cleaner and domestically produced transport fuel.

E85, which contains 80-85% ethanol and 14-19% petrol, has initially been introduced at 48 retail outlets of public sector oil marketing companies. The government plans to expand the network to 500 outlets by December 2026 and around 5,000 outlets by December 2027.

The fuel is designed exclusively for flex-fuel vehicles (FFVs), which can run on ethanol blends ranging from E20 to E100.

Speaking at the launch, Puri said E85 is priced nearly ₹20 per litre cheaper than conventional petrol, allowing consumers to benefit from domestically produced ethanol while reducing dependence on imported crude oil.

He noted that India’s ethanol blending rate has risen from 1.53% in 2014 to 20% today, helping save over ₹1.84 lakh crore in foreign exchange and significantly reducing crude oil imports.

According to the government, vehicles running on E85 can reduce greenhouse gas emissions by around 61% compared to conventional petrol vehicles. Higher ethanol blends also result in cleaner combustion and lower pollution levels.

Puri said wider adoption of flex-fuel vehicles could boost demand for ethanol, increase farmers’ incomes and strengthen India’s energy security.

Calling ethanol producers “Urjadatas” (energy providers), he said every litre of ethanol helps replace imported fossil fuels and supports the vision of an self-reliant India.