Refined Products, Agriculture, Energy Transition, Diesel-Gasoil, Gasoline, LPG, Biofuels, Renewables, Sugar
September 07, 2026
India's ethanol surplus grows as diesel blending hits a roadblock
Featuring Ana Hernandez
HIGHLIGHTS
Safety tests stop ethanol-diesel fuel mix
Distilleries face massive inventory buildup
Government explores cooking fuel alternative
India has halted its ethanol-diesel blending program after safety tests showed the fuel mix is dangerously flammable, leaving distilleries with a major surplus. With no plans to boost gasoline blending beyond 20%, the government is now considering using ethanol as a cooking fuel to help offset the country's heavy reliance on imported LPG.
Related links:
Flashpoint failures halt India ethanol-diesel blend program (subscriber content)