E20 Petrol Saves Consumers Nearly ₹30 Per Litre During Crude Price Spike
The Indian government claims that using E20 petrol resulted in savings of nearly ₹30 per litre for consumers during the global crude oil price spike. The petroleum ministry said that without ethanol blending, petrol prices in Delhi could have risen to ₹125 per litre when the Indian crude oil basket touched around US$135 per barrel.
According to the government, one-fifth of every litre of E20 petrol consists of ethanol produced within the country and purchased at fixed prices agreed in advance. This saved consumers from paying an estimated ₹125 per litre as compared to the actual price of ₹94.77 per litre.
The rollout of E20 petrol has been met with criticism from opposition parties and consumer groups, who have raised concerns about its effect on older vehicles not built to run on fuel containing 20% ethanol.