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Business India News Updated Jun 4, 2026

India to Roll Out 5,000 E85 Fuel Stations by 2027, Says Puri

India will begin rolling out up to 100 E85 fuel dispensing stations across key urban corridors, including NCR, Mumbai, Pune, and Nagpur. Minister Hardeep Singh Puri announced a phased expansion plan targeting 500 stations by December 2026 and 5,000 by end of 2027. He highlighted that E85, containing up to 85% ethanol, is a clean fuel option that could reduce carbon emissions by 66.4 lakh tonnes. The initiative is expected to generate additional income for farmers and lower India's energy import bill.

Govt to roll out up to 5,000 E85 fuel stations by 2027: Hardeep Puri

New Delhi, June 4

India will begin rolling out up to 100 E85 fuel dispensing stations across key urban corridors, including the National Capital Region, Mumbai, Pune and Nagpur, as part of a phased expansion plan to promote flex-fuel adoption in the country, Petroleum Minister Hardeep Singh Puri said on Thursday.

Speaking at the launch of the Maruti Suzuki WagonR Flex Fuel here, Puri said that E85, a fuel blend containing up to 85 per cent ethanol, has been identified as the mono-fuel standard for flex-fuel vehicles under Bureau of Indian Standards (BIS) specifications.

He also said that E85 is being positioned as one of the cleanest fuel options, even when compared to electric vehicles, as part of India's broader transition towards alternative energy sources.

"The rollout of flex-fuel infrastructure will be expanded in phases, with the number of E85 dispensing stations set to increase to 500 by December 2026 and further scale up to 5,000 outlets across major cities by the end of 2027," he mentioned.

Highlighting the shift in India's mobility landscape, Puri said the adoption of flex-fuel technology has now moved beyond two-wheelers to four-wheelers, marking a significant expansion in the ecosystem.

He also noted that if 50 per cent of new two-wheeler and four-wheeler sales transition to flex-fuel vehicles, it could unlock an additional ethanol demand of 311.8 crore litres, generate nearly Rs 12,403 crore in additional income for farmers, and reduce carbon emissions by about 66.4 lakh metric tonnes.

"This not only helps lower our energy import bill but also empowers our farmers with an additional and sustainable source of income, transforming them from the nation's Annadatas into Urjadatas as well," he explained.

Union Minister for Road Transport and Highways Nitin Gadkari, who was also present at the event, said he expects more automobile manufacturers to enter the flex-fuel segment as India accelerates its shift towards cleaner mobility solutions.

The push for E85 fuel comes amid elevated global crude oil prices, driven by ongoing geopolitical tensions, which have impacted oil marketing companies and led to fuel price hikes across the country.

Puri noted that India experienced relatively lower price increases compared to Japan, even as the domestic fuel market continues to absorb global shocks.

— IANS

Reader Comments

Sarah B

As someone from Canada, this is fascinating. India is really thinking ahead with flex-fuel. But 5,000 stations by 2027 seems ambitious for a country this size. Hope the pricing makes sense - ethanol should be cheaper than petrol for people to switch.

Priya S

Finally, our farmers becoming 'Urjadatas'! 🌾➡️⛽ This is exactly the kind of win-win policy we need - reduces pollution, cuts import bills, and boosts rural income. But please ensure ethanol production doesn't compete with food crops or water resources. Sustainable sugarcane farming is key!

Rahul R

Good step but let's be realistic - 5,000 stations is nothing for a country with 70,000+ petrol pumps. And what about two-wheelers? Most Indian families own bikes, not cars. The real impact will come when auto majors launch affordable flex-fuel bikes and scooters. Also, ethanol blending already caused some engine issues in older vehicles - hope BIS specs are robust this time.

Arun Y

I'm cautiously optimistic. The target of 20% ethanol blending by 2025 was already ambitious, and now we're talking E85? Let's first ensure consistent ethanol supply and quality across all states. In Tamil Nadu, we've seen sugarcane farmers face payment delays - this policy must protect their interests first.

James A

Interesting comparison with EVs. I work in energy research in the US, and flex-fuel has been around for decades here but never really took off due to lower fuel efficiency and limited stations. India's approach of blending with existing fuel infrastructure makes more sense though. Curious to see how Maruti's flex-fuel WagonR performs in real-world conditions.

We welcome thoughtful discussions from our readers. Please keep comments respectful and on-topic.

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