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Punjab Vidhan Sabha flags concerns over E20 fuel

The House said the move should be suspended until concerns related to vehicle compatibility, consumer interests, scientific studies and state-specific issues are properly addressed.

News Arena Network - Chandigarh - UPDATED: August 4, 2026, 06:18 PM - 2 min read

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The Punjab Vidhan Sabha on Tuesday passed a resolution asking the Centre to put on hold the mandatory nationwide sale of E20 petrol for vehicles that were not originally designed or approved to run on the higher ethanol blend. The House said the move should be suspended until concerns related to vehicle compatibility, consumer interests, scientific studies and state-specific issues are properly addressed.

 

The Assembly also demanded that consumers should be free to choose between regular petrol and E20 petrol. It argued that owners of vehicles not certified for E20 use should not be forced to switch to the fuel unless their vehicles are proven to be compatible.

 

The House further recommended that the price of E20 petrol should take into account its lower energy content and possible impact on fuel efficiency. It said consumers should not be charged the same price for a fuel that may deliver lower mileage. The Assembly also called for an independent panel of automobile experts, petroleum specialists, environmental scientists, consumer groups and state government representatives to study the impact of E20 fuel on vehicles, maintenance costs, fuel economy, the environment and consumers.

 

Speaking during the discussion, Chief Minister Bhagwant Singh Mann claimed that a study conducted by citizen awareness group Local Circle on 45,000 vehicles found that E20 fuel reduced mileage and caused damage to vehicles.

 

Questioning the Centre's push for E20 fuel, Mann alleged that the decision was linked to international trade commitments. He claimed that India would be required to purchase large quantities of ethanol under a proposed Indo-US trade arrangement. The Chief Minister further criticised the Centre, alleging that the interests of ordinary consumers were being overlooked while implementing the policy.

 

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