Beyond E20 petrol: Is India quietly moving to blended diesel and LPG next?

‘Ethanol blending’ was a buzzword among motor vehicle owners last year as many criticised the programme, citing concerns over mileage, fuel system corrosion and engine knocking, particularly in older vehicles not designed for higher ethanol content.

The government has repeatedly defended its 20% ethanol blending programme, insisting that the fuel is safe and economically beneficial.

Union Road Transport and Highways Minister Nitin Gadkari recently said that India should even aspire to use 100% ethanol, as vulnerabilities in oil exports amid the West Asia crisis have made it necessary for the country to become self-reliant in the energy sector.

"In the near future, India should aspire to achieve 100 per cent ethanol blending... Today, we are facing an energy crisis due to the war in West Asia, so it is necessary for us to become self-reliant in the energy sector," Gadkari said at a conclave.

Currently, Indian vehicles can run on E20 petrol with minor changes to the engine to prevent corrosion and other issues.

Blended diesel and LPG

Now, the government is reportedly taking major steps towards rolling out blended diesel and commercial liquefied petroleum gas (LPG).

According to Hindustan Times, the Bureau of Indian Standards (BIS) is finalising fuel standards for diesel blended with iso-butyl alcohol and for liquefied petroleum gas (LPG) mixed with dimethyl ether (DME).

The Bureau of Indian Standards (BIS) is reviewing industry feedback to set specifications for diesel blended with 10% iso-butyl alcohol (IBA), a flammable liquid typically produced from fermented grains, the report said, citing people aware of the matter.

The standard is expected to be published by June 15, 2026, based on a status report seen by Hindustan Times.

The government is also reportedly working to finalise standards for LPG blended with dimethyl ether (DME) for commercial use.

DME can be produced from natural gas, coal and biomass.

The blended LPG would be limited to commercial applications, while household cooking gas cylinders would continue to use conventional fuel, the report said.

“The contents of domestic LPG cylinders will remain unblended,” HT quoted one of the persons cited above as saying.

A draft of the diesel standard is expected to be released for public comment before final notification.