A worker poses for a picture with an E85 fuel dispenser machine during the launch of E85 fuel (a blend of 85% ethanol and 15% petrol) at a petrol bunk. Image used for representation purpose only.
| Photo Credit: ANI
With a potential eye to popularise the uptake of biofuels in the country, the government late Wednesday (June 10, 2026) exempted the levy of central excise duty on petrol blended with greater quantum of ethanol, that is 22% to 30%.
In other words, petrol blended with ethanol, at 22%, 25%, 27% and 30% would be exempt from central excise duties.
The Bureau of Indian Standards (BIS) had notified fuel standards for the blends May 19 this year. They are not presently available commercially.
“Following the achievement of 20% ethanol blending under the EBP Programme, the new standard aims to promote cleaner transportation, enhance energy security, reduce crude oil imports, and support the agriculture sector,” BIS had stated in their social media post.
The gazette notification comes days after India formally launched the E85 variant of petrol, that is 85% ethanol blended with 15% gasoline, on June 5.
E85 is about ₹20 per litre cheaper than the E20 variant of petrol, that is, the regular variant.
Published – June 11, 2026 08:44 am IST
