The Centre has acknowledged for the first time that E20 petrol may cause a slight reduction in the mileage of cars and motorcycles. Union Minister for Petroleum and Natural Gas Hardeep Singh Puri said vehicles could experience a small drop in fuel efficiency after using petrol blended with 20 per cent ethanol. However, he clarified that mileage is influenced by several factors and that any decline cannot be blamed entirely on the presence of ethanol in fuel.

Addressing a press conference in Delhi, Puri responded to concerns raised by vehicle owners about the effect of E20 petrol on fuel efficiency. He said it was now well established that ethanol is also used in racing cars and can improve certain aspects of vehicle performance, including acceleration. While admitting that mileage may drop slightly, the minister stressed that several other conditions can also affect how much fuel a vehicle consumes.

Puri said the government's decision to introduce E20 petrol was taken only after consultations with major stakeholders in the automobile and fuel sectors. These consultations included organisations such as the Society of Indian Automobile Manufacturers and the Automotive Research Association of India. The minister said the rollout was not carried out without technical evaluation and that relevant industry bodies had been involved in the process.

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The government's clarification comes amid growing concerns among motorists about whether E20 petrol could reduce mileage or affect older vehicles. E20 fuel contains 20 per cent ethanol blended with 80 per cent petrol and is part of India's efforts to reduce dependence on imported crude oil. The ethanol blending programme is also aimed at lowering emissions and increasing the use of domestically produced alternative fuels.

Puri also addressed concerns that using E20 petrol could affect vehicle insurance coverage. He said claims that insurance companies would refuse coverage for vehicles using ethanol-blended petrol were incorrect. According to the minister, insurance companies have already clarified that there is no such issue and that the use of E20 fuel does not automatically cancel or invalidate a vehicle's insurance policy.

The Centre's statement provides a clearer answer to motorists concerned about changes in fuel economy after the wider rollout of E20 petrol. While the government has accepted that mileage may decline slightly, it maintains that fuel efficiency depends on multiple factors and that ethanol alone should not be held responsible. The Centre continues to support the use of E20 petrol as part of its broader energy and environmental strategy.

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