India’s ethanol policy is evolving faster than the choices available to its citizens. The country is advancing towards its ethanol blending targets, driven by the twin objectives of reducing oil imports and strengthening energy security. Yet as E20 becomes the default fuel option, consumers are no longer being offered a choice between different petrol blends.

The government’s decision to remove multiple fuel grades to simplify logistics raises an important question about how ambitious energy transitions should balance efficiency with public confidence. India’s ethanol programme is driven by clear policy goals. Reducing oil imports, strengthening energy security and expanding opportunities for farmers are all worthwhile goals. The government’s case for a single fuel standard is equally straightforward.

Maintaining multiple fuel grades would require additional investments in storage, distribution and inventory management, increasing costs across the fuel supply chain. With substantial resources already committed to ethanol production and infrastructure, policymakers argue that standardisation is the most practical way forward. It is a reasonable case. But every policy choice involves trade-offs. While the government has explained the cost of offering consumers more flexibility, it has paid far less attention to the cost of removing that flexibility altogether.

For millions,........

© The Statesman