E85 Fuel Could Be Cheaper Than Petrol in India

Published ByKonica Singh

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2026-06-05

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E85 Fuel Could Be Cheaper Than Petrol in India

E85 fuel may be priced significantly lower than petrol. India plans to set up 5,000 E85 fuel stations by 2027. More flex-fuel cars and motorcycles are expected to hit the market.

The government is working on a policy framework to support the rollout of E85 fuel in India, and it could bring good news for vehicle owners. Union Petroleum and Natural Gas Minister Hardeep Singh Puri has said that E85 fuel will be priced significantly lower than regular petrol, making it a more affordable option for compatible vehicles.

The announcement comes as India continues to push for cleaner fuels and reduced dependence on crude oil imports.

Also Read: Mahindra’s New Compact SUV Spotted With Diesel Engine

What Is E85 Fuel?

E85 is a fuel blend that contains up to 85 percent ethanol and 15 percent petrol. It can only be used in flex-fuel vehicles that are specifically designed to operate on higher ethanol blends.

The government sees E85 as an important step towards increasing the use of biofuels and reducing the country's reliance on conventional fossil fuels.

Cheaper Fuel Could Encourage Adoption

Speaking at the launch of new flex-fuel motorcycles, Hardeep Singh Puri said that E85 fuel would be "substantially cheaper" than normal petrol.

While exact pricing details are yet to be announced, the government is examining supportive policies that could make E85 more attractive for consumers. Lower fuel costs could encourage more buyers to consider flex-fuel vehicles in the future.

More E85 Fuel Stations Planned

Fuel availability is currently one of the biggest challenges for E85 adoption. To address this, the government is planning a phased rollout of E85 dispensing stations across the country.

Initially, around 50 to 100 E85 fuel stations will be set up in the Delhi-NCR and Mumbai-Pune-Nagpur corridors. The network is expected to expand to around 500 stations by the end of this year.

The long-term target is much larger, with plans for nearly 5,000 E85 fuel stations across major Indian cities by the end of 2027.

Flex-Fuel Vehicles Are Already Arriving

Automakers have already started preparing for the shift towards higher ethanol blends.

Hero MotoCorp recently introduced flex-fuel versions of the Splendor+ and HF Deluxe motorcycles, which can run on ethanol blends ranging from E20 to E85.

Maruti Suzuki has also showcased the Wagon R Flex Fuel, making it India's first flex-fuel car. Based on the company's 1.2-litre petrol engine, the hatchback can operate on fuel blends from E20 to E85.

For now, the Wagon R Flex Fuel is expected to be offered mainly to fleet operators and cab aggregators.

Also Read: New Wagon R Flex Fuel – Engine Updates, Features, and Expected Price

More Alternative Fuels Being Explored

Apart from E85, the government is also exploring other cleaner fuel options.

Union Road Transport and Highways Minister Nitin Gadkari recently said that authorities are considering allowing up to 15 percent isobutanol blending in diesel. Isobutanol is a biofuel that offers higher energy content and lower corrosiveness compared to ethanol.

At the same time, hydrogen remains an important part of India's long-term clean mobility plans, with pilot projects involving hydrogen-powered buses already underway.

Also Read: Honda Has Two Big SUV Launches Planned for India

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About Author

Konica Singh

Sub-Editor

Konica Singh is a passionate Automotive Journalist who brings the world of cars to life, from EV trends to exciting new car launches. Backed by 7 years in content creation, she is skilled in writing, editing, and SEO strategy that drives engagement.

Education: MA English (Delhi University)

Social Media: LinkedIn | Instagram | Twitter | Facebook

Email: konica.carlelo@gmail.com

Location: New Delhi

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