The Government of India has completed the roll out of its policy mandating E20 petrol -- motor spirit consisting of 80% petrol and 20% ethanol -- as the sole fuel available to users of petrol vehicles only to be met with a fierce backlash from users to the point that the government and its agencies have been forced to spend the better part of last week attempting to quell the increasing dissatisfaction among customers.
Ethanol-blended petrol was introduced as a mandatory requirement on the grounds that India needs to reduce its dependence on imported fuels, which in turn will help reduce its import bill, reduce the deficit, and shore up the Rupee. Ethanol can be produced locally and, as such, need not be imported, thereby helping India’s fuel security. The government has also encouraged auto manufacturers to launch flex-fuel vehicles, i.e., vehicles that can run on petrol blended with 15% ethanol, or up to 100% ethanol.
While the idea behind these initiatives is noble, there are several problems with the policy, as several commentators and vehicle users have pointed out. The foremost among these is that it is being made mandatory, with vehicle users left with no choice but to opt for E20 fuel, with regular E5 or E10 fuel not being made available even at a higher, non-subsidised price. This despite the fact that vehicles sold in 2018 and earlier are not compatible with E20 fuel. A vehicle that is not compatible with E20 fuel that is made to run on E20 fuel will sooner or later develop problems, even if such problems are not immediately apparent. Vehicles that are not compatible with fuel with high ethanol content will set rubber gaskets and fuel system plumbing giving way sooner rather than later as the effects of ethanol’s corrosive properties begin to show up. The government needs to make E5 fuel available at least as an option at reasonable prices even if they wish to continue with E20 as regular petrol.
The second problem with Ethanol is that since it has a lower calorific value, it gives poorer fuel efficiency. What this means is that the overall consumption of fuel increases, thereby offsetting some of the gains made by having to import less crude oil for the same amount of fuel consumed. However, instead of addressing all these concerns, the Government of India has turned a deaf ear to complaints from vehicle users and has instead only doubled down on its claims that E20 is beneficial to vehicles and that there is no value to those who are complaining.
Instead, they have begun a campaign on social and other forms of media seeking to discredit those who have been raising genuine concerns. The fact remains that vehicles bought up to the year 2018 are, as of date, only eight years into their life cycle. Assuming that a vehicle has a life cycle of around 15 years (and many vehicles are used for many years beyond that), that’s only about half of its whole life cycle. While there’s no doubt that rights of vehicle owners cannot be considered on the same level of fundamental rights, the rights of consumers cannot be simply brushed aside in an uncaring manner the way that the government is currently doing.
It is imperative that at this point in time, the government walks back on its attitude towards the issue and sees the issue for what it is -- throwing genuine consumers and tax-paying citizens under the bus for no fault of their own.
