India’s push for ethanol-mixed fuel sparks driver backlash, leaves carmakers scrambling
By Aditya Kalra and Aditi Shah
NEW DELHI/LUCKNOW (Reuters) -The Indian government is facing a backlash from motorists after the nationwide rollout of fuel blended with 20% ethanol, amid fears – stoked by a lack of clarity from some automakers – that it may affect the performance of particularly older vehicles.
India, the world’s third largest car market, set a 2025 target years ago for 20% ethanol blending in fuel, called E20, as part of Prime Minister Narendra Modi’s focus on clean energy.
But in recent weeks it has become the only choice at nearly all of the country’s 90,000 fuel stations. Older blends, like E5 and E10, typically seen as more compatible with old cars, have mostly been removed, leaving drivers with just one choice.
The government says E20 lowers carbon emissions, but has conceded in press statements addressing consumer worries that there could be a “marginal” hit on fuel efficiency of old cars.
Automakers, already battling slower sales and shortages of rare-earth magnets, have provided mixed guidance, adding to consumer anger over the lack of choice. Public interest litigation against the move will be heard in the Supreme Court on Monday.
Two fuel station managers in the northern city of Lucknow told Reuters that drivers were getting so angry that some stations had stopped providing information about the change.
“People hurl abuse at us. We then decided to not tell people about it,” said one manager, Ramesh Pandey.
The ministries of petroleum and road transport did not respond to requests for comment.
“India’s ethanol journey is unstoppable,” petroleum minister Hardeep Singh Puri said on August 8, adding that “some lobbies with vested interests are actively attempting to create confusion.”
Days later, Puri’s ministry said “in case of certain older vehicles, some rubber parts and gaskets may require replacement” calling it a “simple process”.
‘GIVE ME THE RIGHT FUEL’
Automakers are racing to assuage concerns, but there is little clarity on the future of old cars in particular.
Skoda has issued an FAQ on its website saying that components of its cars sold in India before April 2020 “are not evaluated” for E20. In a statement to Reuters on Friday, it said vehicles sold after that date were “fully material-compatible”, without explaining what happens to older cars.
Toyota said in a statement that “a modest variation” in fuel economy in its cars was likely with E20.
On Monday, Renault told tech consultant Ankur Thakur, 28, via email that his 2022 Renault Triber had “not been tested” for E20 and it was “not advisable” to use the fuel.