India Oil Ministry says E20 petrol may cut fuel efficiency by 3-5% as ethanol blending expands

India's Oil Ministry has warned that E20 petrol, a blend containing 20% ethanol, could reduce fuel efficiency by 3-5% compared to regular petrol. The statement comes as the country pushes toward higher ethanol blending targets under its national biofuel policy, aiming to cut oil imports and lower transport emissions. The efficiency loss means drivers may need to refuel more often, which could affect public acceptance of the transition. For the carbon credit and climate community, this highlights a real tension in biofuel policy. Ethanol blending reduces lifecycle CO2 emissions from gasoline vehicles, but the mileage penalty means more fuel is burned per kilometer. The net carbon benefit depends on the ethanol feedstock, production method, and vehicle calibration. India's E20 rollout is a major test case for how developing economies balance emission goals with consumer costs. The Oil Ministry's admission is useful transparency, but the article does not say whether the 3-5% figure accounts for real-world driving conditions or lab tests.