Bharat Petroleum Corporation Limited (BPCL) has denied any plan to replace E20 petrol with E10 fuel, in what might be seen as a bid to bring down the price of lower ethanol to a common man in India. This came after BPCL Chairman and Managing Director Sanjay Khanna had been quoted as saying that E10 petrol was being considered as an alternative to E20.
On Thursday, BPCL said Khanna’s comments were “misrepresented”. BPCL said the existing E20-blended petrol would not be replaced by E10.
“Shri Sanjay Khanna Chairman & Managing Director, BPCL said that there is no proposal to replace the current E20 blended petrol with E10,” the company said in a statement on X. BPCL added that the chairman’s response was being incorrectly interpreted as confirmation that E10 was being considered as an option.
Shri Sanjay Khanna Chairman & Managing Director, BPCL said that there is no proposal to replace the existing E20 blended Petrol with E10, on Thursday after BPCL’s AGM.
— Bharat Petroleum (@BPCLimited) August 27, 2026
His response is being misquoted to suggest as if E10 is being considered as an option, which is not correct.…
The clarification came against the background of reports that the petroleum ministry was mulling whether a lower ethanol petrol option could be available to owners of older vehicles. According to these reports, discussions involved state-owned oil marketing companies such as Indian Oil Corporation, BPCL and Hindustan Petroleum Corporation.
The proposal was based on premium petrol with a 95-octane rating and a 10% ethanol blend. Such an arrangement could provide an E10 option to owners of older vehicles but allow oil marketing companies to use infrastructure that is already in place for premium petrol.
However, BPCL's latest statement says that such reports should not be interpreted as an imminent replacement of E20 petrol across the country. E20 is the standard petrol blend being provided under India's ethanol-blending programme.
Why E10 has returned to the debate
Ethanol blending has become a major component of India's fuel policy, with the government promoting higher ethanol content in petrol to reduce dependence on imported crude oil, lower emissions and support domestic agricultural and ethanol-producing sectors.
E20 petrol contains 20% ethanol mixed with petrol. The government has maintained that E20 does not damage compatible vehicle engines but there are concerns among drivers, especially those driving older vehicles designed for E10.
Most of the concerns associated with higher ethanol blends are fuel efficiency. Ethanol contains less energy per litre than petrol, so it may result in lower mileage when driving on higher ethanol blends. The government has already acknowledged that vehicles designed for E10 may experience a marginal reduction in fuel efficiency when using E20.
Union Petroleum Minister Hardeep Singh Puri has also defended ethanol-blended fuels while acknowledging the potential impact on mileage. The government has repeatedly said that E20-compatible vehicles can safely use the fuel.
After Chief Economic Adviser V Anantha Nageswaran, the issue was taken up further by Chief Economic Adviser V Anantha Nageswaran who said that consumers should have access to a lower-ethanol petrol option in addition to E20. For older vehicles that are concerned about compatibility, performance or fuel economy, the suggestion was particularly appropriate.
Could Premium Petrol provide an E10 option?
Reports about a possible E10 option suggested that premium petrol could be used as the route for providing lower ethanol fuel without establishing an entirely separate nationwide distribution network.
Premium 95-octane fuels already sold by oil marketing companies include Indian Oil's XP95, BPCL's SPEED and Hindustan Petroleum's Power95. Under the proposed proposal, these premium products could be sold with a 10% ethanol blend.
The advantage of such an approach would be that premium fuel infrastructure would be in place. Oil companies would not necessarily need to set up a separate network of storage tanks, delivery systems and retail infrastructure for E10 petrol.
Industry representatives also pointed to the growing popularity of premium petrol. Premium petrol accounts for around 15% of oil marketing companies' petrol sales, significantly higher than its share a few years ago.
Despite speculation, BPCL's new statement means motorists should not be assuming that E10 petrol is going to go back in as a substitute for E20. Government policy and oil marketing firms will have to decide whether to offer a lower ethanol fuel in the future.
India’s ethanol blending programme has grown as well since it started in 2001. It is a key policy of the government to reduce crude oil imports, support domestic producers and improve energy security.
E20 is still in place today, and the debate for consumers (especially owners of older vehicles) whether they need an E10 alternative is going on. BPCL's announcement is clear: we do not propose to replace E20 petrol with E10 in the market either.
