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Petrol Dealers Seek Review Of E20 Rollout

Petrol dealers have urged the Centre to review the rollout of E20 petrol, citing rising customer complaints, vehicle compatibility concerns and operational pressure on fuel retailers.

E20 Petrol Rollout Faces Dealer Concerns

The Odisha Petroleum Dealers Association has raised concerns over the nationwide use of E20 petrol, which contains 20% ethanol and 80% petrol. Association president Sasanka Sekhar Sahu said dealers are receiving complaints from customers who claim their vehicles are facing fuel-related mechanical issues after using the higher ethanol blend.

He said some customers have reported clogged carburettors and other vehicle problems, especially in older or non-E20-compatible vehicles. Dealers said they are being blamed at petrol pumps despite having no role in deciding the fuel policy.

Vehicle Compatibility Questions Over E20 Fuel

Dealers have argued that many vehicles currently running on Indian roads were originally designed for lower ethanol blends such as E10. They have urged the government to consider whether the transition to E20 should be reviewed or implemented in a more phased manner.

The Centre, however, has maintained that India’s ethanol blending programme is scientifically tested and monitored in consultation with oil marketing companies, vehicle manufacturers and testing agencies. The government has also said that no widespread engine failure or vehicle breakdown directly linked to E20 petrol has been reported.

Petrol Dealers Seek Margin Review

Apart from vehicle compatibility concerns, dealers have also raised the issue of fuel retail margins. The association claimed that oil marketing companies had earlier indicated that dealer margins would be reviewed periodically, but retailers say no adequate revision has taken place despite rising operating costs.

Dealers said they support the broader goal of ethanol blending, including reduced crude oil imports and support for domestic ethanol production, but want the government to address consumer awareness, vehicle compatibility and retailer viability before further expansion.

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