Synopsis: India is going to roll out its E20 fuel, which is a 20 percent ethanol blend with petrol. This fuel promises lower emissions and reduced oil imports, but has lately raised concerns over mileage drops, potential engine issues, and questions the compatibility with older cars. With a Supreme Court hearing to come out soon, the debate continues between government assurances and consumer worries.

India has been rolling out its ambitious E20 fuel, which is a 20% ethanol blend with petrol, and this has been shaking up the automotive landscape of the country. While the government highlights its environmental and economic benefits, car owners and industry experts have been raising questions about the impact, compatibility, and transparency of the new fuel. This article is going to talk about the latest developments around this topic and everything you as a consumer need to be aware of about the E20 fuel type.

Firstly, let’s understand what E20 is, and why the Push?

E20 fuel is conventional petrol blended with 20% ethanol, which is a biofuel that is derived mainly from sugarcane and agricultural waste. The government claims E20 will be able to cut carbon emissions, reduce oil imports, and boost farmer income. This initiative is projected to generate about Rs. 40,000 crores in rural earnings just in this year alone. India has been quickly adopting and making E20 the predominant option across all of its 90,000 petrol stations by mid-2025.

What are the controversies around it?

  • Many vehicle owners feel forced to fill up their vehicles with E20, even though their vehicles aren’t certified for such high ethanol blends. This has caused widespread dissatisfaction among motorists. Lately, there have even been reports of angry customers at fuel stations. Additionally, a Public Interest Litigation (PIL) is now before the Supreme Court of India and is set for a hearing in September 2025.
  • The Concerns around this topic include potential engine damage, declining mileage, increased service costs, and uncertainty regarding warranties for older vehicles.
  • Vehicle owners on social media have reported a 10-20% mileage drop, even though government-backed studies suggest the actual average decline is going to be milder and would stand somewhere between 2-6%.
  • There have been officials emphasizing the E20’s success at curbing emissions and imports, and even highlighting the extensive controlled studies that have stated no significant wear and tear in engines that were designed specifically or the ones made compatible with the E20 fuel.
  • We have even got top auto industry figures too, admitting that there will be a marginal decrease in mileage. and some older vehicles’ rubber parts and gaskets could even need replacement.
  • The government has been working on guidelines regarding an even higher ethanol blending level, which could be up to 27%.

Are Older Cars at Risk with E20?

Most cars that are made after April 2023 are fully E20 compliant, across all the major brands. The table below has the complete list of the brands and the models that are E20 compatible –

ManufacturerE20 Compatibility (From)Models Covered
Maruti SuzukiApril 2023All models (WagonR, Swift, Baleno…)
Hyundai2023Venue, i20, Creta, etc.
HondaJan 2009 (material)All models post-2009
Toyota2023Glanza, Innova, Fortuner, Hilux
Tata2023Punch, Altroz, Nexon, Harrier
Skoda/Volkswagen2023Kushaq, Slavia, Taigun, Virtus
Kia2023Seltos, Sonet, Carens
Mahindra2023XUV 3XO, Thar, Scorpio N
MG2023Hector, Gloster, Astor

All Honda cars manufactured in India after January 2009 are deemed material-compatible, but only the more recent models (post 2023) are fully compatible.

Material Compatibility vs. Full Compatibility

  • Material compatible indicates that the fuel system parts such as the hoses, tanks, and seals won’t degrade from the exposure of ethanol.
  • Fully compatible means the engine is completely optimized, and no performance, mileage, or reliability problems will occur.
  • Older Models (Pre-2023): Most are not fully optimized. Some are “material compatible,” meaning systems can tolerate E20 but might see reduced performance, fuel economy, or longer-term wear, especially at higher mileage.
  • Warranty Coverage: Leading carmakers have recently assured consumers that warranty claims will be honoured for issues traced to E20 usage in the older vehicles. Dealerships have even begun to issue new guidance about required parts changes and periodic checks.

Also read: Top 10 Stunning Black & Dark Edition SUVs in India Under ₹30 Lakhs

Risks, Mileage, and Real-World Evidence

  • Efficiency and Wear
    • Mileage Drops: Official ARAI studies peg the average fuel economy drop at around 2-6%, which is far less than what has been mentioned by most of the users.
    • Component Wear: The main risk is the gradual corrosion or swelling of rubber, plastic, or metal components in vehicles not optimized for ethanol. Additionally, no sudden catastrophic failures have been widely reported.
    • Performance: Slight reduction in torque and engine power is possible, though not expected to be dangerous.
  • What Should Owners Do?
    • Check the Manuals/Manufacturer Statements: Compatibility lists are widely available online and at dealerships.
    • Regular check the engine: Pay attention to declining efficiency that could come with signs such as- rough idling or fuel smell, as these might signal the need for maintenance or replacement of aged components.
    • Consult the service center about upgrade kits: Some manufacturers, like Maruti Suzuki, plan to offer affordable upgrade kits for their older models.

The Bottom Line

With the ongoing litigations and the Supreme Court hearing to come out soon, India’s E20 transition will remain fiercely debated. Where the government and carmakers have agreed that E20 is here to stay, but pressure has been mounting for clearer communication. There will be support provided for affected owners, and availability will be made for alternative fuel blends for the vintage vehicles. While E20 fuel is broadly safe for newer cars, owners of older models should stay aware of the manufacturer’s guidance, and seek regular checks on their vehicle’s condition, especially as India is planning to gear up for even more ambitious ethanol blending targets in the coming years.

Written by Adithya Menon