PIB Debunks Reports Claiming India Proposed E20 Petrol Export To Bhutan

The Press Information Bureau (PIB) has dismissed media reports claiming that Bhutan rejected an Indian proposal to import E20 petrol, clarifying that no such export offer was ever made by Indian Oil Marketing Companies (OMCs) and that there is no proposal under consideration to supply E20 fuel to the neighbouring country. The clarification came after several reports circulated in sections of the media suggesting that Bhutan had turned down an Indian proposal to import E20 petrol. These reports also claimed that Bhutan had requested India to continue supplying conventional petrol instead of ethanol-blended fuel due to technical and infrastructure-related constraints.

The government has now termed these claims as incorrect and misleading. In an official statement posted on social media platform X, the Ministry of Petroleum and Natural Gas (MoPNG) categorically denied the existence of any such proposal. The ministry stated that Indian OMCs have not made any offer to export E20 petrol to Bhutan, and therefore reports suggesting that Bhutan rejected such a proposal are unfounded. Officials reiterated that no bilateral or commercial discussion of this nature has taken place.

Earlier media reports had cited unnamed Bhutanese officials to suggest that the country had raised concerns over the hygroscopic nature of ethanol, a key component in E20 fuel. Ethanol tends to absorb moisture more easily than conventional petrol, which, according to those reports, could pose challenges in regions with older fuel storage infrastructure. It was alleged that Bhutan’s underground fuel storage tanks, particularly in mountainous areas, might be vulnerable to water seepage, raising concerns about fuel stability and potential engine performance issues due to phase separation.

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However, Indian authorities have now categorically rejected the premise of such discussions. The government has clarified that no proposal for E20 petrol exports to Bhutan exists at any level, thereby nullifying claims of Bhutan rejecting or responding to such an offer. Officials emphasized that the narrative circulating in media reports does not reflect any official communication or policy engagement between the two countries regarding ethanol-blended fuel exports.

The controversy has highlighted growing sensitivity around reporting on India’s ethanol-blending programme, which has been a central pillar of the government’s clean energy and energy security strategy. India’s E20 initiative involves blending 20 per cent ethanol with petrol, aimed at reducing dependence on imported crude oil, lowering greenhouse gas emissions, and promoting domestic biofuel production from agricultural feedstock.

The programme has been implemented in a phased manner across the country, with E20 petrol now widely available at fuel stations nationwide. The government has steadily increased ethanol blending targets over the years as part of its broader commitment to sustainable energy transition and reducing the country’s carbon footprint. Officials have also pointed out that the E20 rollout is primarily designed to meet domestic energy requirements and environmental objectives, rather than being structured around export commitments. As such, any claims regarding international rejection or acceptance of E20 fuel proposals in this context are not aligned with current policy frameworks.

The PIB clarification serves as a rebuttal to misinformation, reinforcing that no formal proposal was ever extended to Bhutan regarding E20 petrol exports. The government has urged media platforms to exercise caution and verify facts before publishing reports related to sensitive policy matters, especially those involving international relations and energy security. With this clarification, authorities have sought to put an end to speculation surrounding the issue, reaffirming that India’s ethanol-blended fuel programme continues to focus on domestic implementation, emissions reduction, and strengthening energy independence.

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