India is rapidly scaling ethanol, a sugar-based fuel, to reduce dependence on imported crude and raise incomes for farmers. Policy shifts are enabling higher ethanol blends for vehicles and even aviation, with plans moving toward E20 and exploring E100. The effort brings agriculture, energy, and transport sectors together for a coordinated energy transition.
India is set to fast-track flex-fuel vehicles that can run on higher ethanol blends, aiming to curb dependence on imported oil. The push comes as crude markets stay jittery due to geopolitical shocks, including conflicts affecting Middle East energy supplies. If adoption accelerates, ethanol could become a buffer against oil price spikes and import volatility.
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TVS Motor’s CMD Sudarshan Venu says the company is readying ethanol powered models, with rollouts planned in phases. He points to India’s E20 blending milestone as proof of benefits like foreign exchange savings and rural support, but warns that E25 and later require ecosystem alignment. Ethanol, he argues, can complement EVs in a multi-technology transition.
The Centre has proposed a new Sugarcane (Control) Order 2026, replacing the 1966 framework, and is seeking public comments by May 20. While it retains core obligations like FRR and payment deadlines, the draft adds ethanol-focused conversion formulae, digital compliance requirements, and a formal approval process for new factories.
The “ethanol man of India” argues the country’s energy future won’t be driven by EVs, but by flex-fuel vehicles. Praj Industries, long seen as the go-to ethanol player, spent nearly three decades fighting to gain ground. Its turnaround is being pitched as a roadmap for other companies trying to scale in India’s flex-fuel ecosystem.
A new Kerala study is investigating whether ethanol-blended fuels are attracting an invasive beetle that could bore into vehicle fuel pipes, potentially triggering fire incidents. The insect is nicknamed “boozy” for its suspected link to ethanol. Ethanol producers in India have dismissed any claims of global scientific evidence, even as the research continues amid a broader climate context.
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India has approved ethanol and synthetic hydrocarbons to be blended into aviation fuel to lower emissions and reduce dependence on imported oil. The government did not set near-term blending targets, but it plans to add 1 percent sustainable aviation fuel to international flights by 2027. The step mirrors global aviation efforts toward carbon-neutral growth.
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