The ethanol blending policy has come under scrutiny in Karnataka after State government tests detected ethanol concentrations exceeding the prescribed E20 limit in most of the petrol samples examined. Laboratory analysis found ethanol content above 20% in 11 of 14 samples, with the highest reading reaching 31.2% in petrol supplied by Indian Oil Corporation Limited (IOCL).
The findings, released by the Legal Metrology Department on Friday, November 6, have prompted the State government to question the quality of fuel being supplied to consumers and seek an explanation from the Centre. The samples were collected from seven districts - Bengaluru, Kolar, Chikkaballapura, Bengaluru Rural, Ramanagara, Mangaluru and Tumakuru - following directions from Food, Civil Supplies, Consumer Affairs and Legal Metrology Minister Rizwan Arshad.
According to the test results, IOCL petrol recorded the highest ethanol concentration at 31.2%, followed by Hindustan Petroleum Corporation Limited (HPCL) at 30.5%. Other samples showed concentrations of 27% in HPCL petrol, 26.5% in Bharat Petroleum Corporation Limited (BPCL) petrol and 26.1% in Nayara petrol. A Shell sample recorded 25.5%.
Two BPCL samples contained 24.2% and 22.6% ethanol, while HPCL recorded 22.4%, IOCL 20.8% and Nayara 20.6%. Only three samples were within the E20 limit: BPCL at 19.9%, Mangalore Refinery and Petrochemicals Limited (MRPL) at 19.2% and Shell at 13.5%.
The Civil Supplies Department said it had collected 63 petrol samples from major oil marketing companies across the State. The exercise was initiated on the assumption that the fuel supplied to consumers complied with the Centre's prescribed blending standard.
Arshad said the State had relied on the Union government's assurance that E20 petrol would not adversely affect consumers. He argued that fuel containing a higher proportion of ethanol than the notified limit raised questions about consumer protection and accountability. He has sought clarification from the Union Ministers for Petroleum and Natural Gas and Road Transport and Highways on the actual ethanol content of petrol sold in the country.
The department has also estimated the potential financial burden on consumers at nearly Rs 1.01 lakh crore annually. This includes around Rs 62,000 crore in additional expenses attributed to reduced vehicle mileage and Rs 39,000 crore in estimated repair costs involving fuel pumps, filters, injectors, hoses and seals.
The department maintains that nearly 99% of India's 35 crore vehicles were not designed to operate with ethanol blends exceeding E20. It also said vehicles sold after April 2023 were certified for blends up to E20.
The Karnataka government has demanded disclosure of ethanol content at petrol pumps, availability of different fuel blends and action against companies supplying petrol beyond the prescribed limit. It has also proposed an E20 compensation fund to reimburse vehicle owners for verified damage through a time-bound claims mechanism.
The State government plans to continue collecting and testing fuel samples under the Motor Spirit and High Speed Diesel (Regulation of Supply and Distribution and Prevention of Malpractices) Order, 2005. The order empowers designated State officials, including district administrations and authorised police officers, to take action against irregularities in fuel supply and distribution.