What is E20 Fuel?

Key updates-

• The city of Bengaluru is among the ones that will have retail distribution of E20 fuel, a blend of 20% ethanol and 80% petrol starting from February 2023.
• Bengaluru is among the 15 cities across India that will get E20 fuel through outlets run by Indian Oil Corporation in the first phase, two months ahead of the Centre’s initial rollout plan for April 2023. 
• E20 is a blend of 20% ethanol with petrol. 
• The Government aims to achieve a complete 20% blending of ethanol by 2025, and HPCL and other oil marketing companies are setting up 2G-3G ethanol plants that will facilitate the progress.
• In the next two years its retailing would be expanded throughout the country.
• According to the PM, with 10% blending, the country saved a forex outgo of ₹53,894 crore, in addition, increased use of biofuels would lead to a cut in emissions.

What is Ethanol Blending?

• Ethyl alcohol or ethanol (C2H5OH) is a biofuel that is made naturally by fermenting sugar derived from sugarcane or other organic matter like foodgrains( corn, grain).
• As part of its carbon reduction commitments, India has launched the Ethanol Blended Petrol (EBP) programme to mix this biofuel with petrol to reduce the consumption of petrol. 
• India has already met its E10 target, so petrol used in the country has 10% ethanol in it. 
• The E20 pilot covers at least 15 cities and will be rolled out across the country in a phased manner.

Why Increase Blending?

India imported 185 million tonnes of petroleum at a cost of $551 billion in 2020-21. As most of the petroleum products are used in transportation, a successful E20 programme can save the country $4 billion or Rs 30,000 crore per annum.

Further reading: https://journalsofindia.com/ethanol-blending-programme/