All India Distillers’ Association welcomes draft notification on high ethanol-blended fuels

The government has proposed amendments to the Central Motor Vehicles Rules, 1989 to allow high ethanol-blended fuels like E100 and E85.

The All India Distillers’ Association (AIDA) has welcomed the government’s draft notification proposing amendments to the Central Motor Vehicles Rules, 1989, aimed at enabling the use of higher ethanol-blended fuels in India.

Issued by the Ministry of Road Transport and Highways (MoRTH), the draft introduces fuels such as E100 (pure ethanol), E85, and Hydrogen-CNG into the regulatory framework. AIDA described the move as a major milestone for the sector, marking a transition of ethanol from being merely a petrol additive to a primary fuel option.

The association believes this policy shift will accelerate the adoption of flex-fuel vehicles in India and support the country’s broader push towards cleaner and more sustainable mobility solutions.

A New Era for Flex-Fuel Vehicles

The notification provides the legal “Identity Card” for E100 by creating a dedicated compliance annexure. This removes the regulatory uncertainty that previously prevented automobile manufacturers from launching vehicles that run entirely on ethanol.

Mr. Vijendra Singh, President, AIDA, stated: “AIDA wholeheartedly welcomes this visionary step by the Government. For years, ethanol was seen only as a blending agent. By legally recognizing E100 as a primary fuel, the government has provided the distillery industry with the long-term certainty needed to scale up production. We are now ready to power India’s transport sector independently of foreign oil.”

Economic Shield Against Global Volatility

With a national fossil fuel import bill of ₹22 Lakh Crore, the push for E100 serves as a strategic economic shield. The Ethanol Blending Programme has already saved ₹1.70 Lakh Crore in foreign exchange, and these new rules will accelerate those savings.

Mr. Kushal Mittal, Vice President, AIDA, said : “We welcome the technical precision of this draft. By cleaning up Rule 115 and streamlining emission testing notations, the government has cleared the ‘bureaucratic logjam’ for testing agencies like ARAI. This ensures that Flex-Fuel and Hybrid vehicles can move from the drawing board to Indian roads in record time.”

Direct Prosperity for the Indian Farmer

High-blend ethanol is a 100% indigenous fuel produced from sugarcane and food grains. This policy ensures that energy spending remains within the country, directly benefiting the rural economy.

Ms. Bharati Balaji, Deputy Director General, AIDA, added: “AIDA welcomes this move as a historic win for the Indian farmer. Every drop of E100 represents a shift in wealth from foreign oil producers to our own agricultural heartland. We are committed to ensuring a robust and seamless supply chain to meet this new demand for E85 and E100 fuels.”

Key Highlights:

  • Legal Recognition: E100 and Hydrogen-CNG are now officially “Type Approved” automotive fuels.
  • Commercial Launchpad: Automobile OEMs can now legally mass-produce and certify Flex-Fuel Vehicles (FFVs).
  • Energy Sovereignty: Drastic reduction in crude oil imports, strengthening India’s macroeconomic stability.
  • Zero-Carbon Push: High-blend ethanol is a critical tool for India to achieve its ‘Net Zero’ climate commitments.