New Delhi, June 30: The Union Government has affirmed before the Supreme Court that the 20 per cent ethanol blending initiative is a definitive national policy, noting that the broader environmental and financial impacts of the rollout will yield comprehensive data by next year. The statement comes as the administration protects the structural integrity of the program against fragmented legal challenges across various states.
The initiative has already delivered substantial macroeconomic benefits, curbing crude oil imports to save the country over Rs 1.4 lakh crore in foreign exchange. Beyond the fiscal savings, the central administration asserted that the program serves as a critical pillar for reducing carbon emissions and transitioning toward cleaner mobility. Oil marketing companies began nationwide distribution of the blended fuel on April 1, following the achievement of the 20 per cent target five years ahead of the original timeline.
Attorney General R Venkataramani declared the long-term stability of the project during a high-profile legal hearing. “The 20 per cent blending mix is a firm policy decision that is highly unlikely to change,” Venkataramani stated, adding that while the core policy remains rigid, the exact volumes allocated to specific companies might fluctuate based on market demand.
The submission was made during a petition filed by Bharat Petroleum Corporation Limited (BPCL), which is contesting a Karnataka High Court order regarding ethanol allocation for the 2025–26 supply year. The energy PSU maintained that individual high court rulings could jeopardize the nationwide objective. The Attorney General requested permission to file a comprehensive transfer petition to consolidate similar pending cases, pointing out that supply contracts were finalized in October 2025 and navigating isolated high courts would cause severe delays before the next renewal cycle this October.
Looking toward future expansion, the government has already established a roadmap to elevate the ethanol blend in petrol to 30 per cent by 2030.
