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Industry body Grain Ethanol Manufacturers Association (GEMA) has urged the Centre to expedite its roadmap for enhanced ethanol blending and a countrywide adoption of flex-fuel vehicles -- or vehicles that can run on fossil fuels like petrol and diesel as well as alternative fuels like ethanol.

Calling for joint action among policymakers, industry and the automobile sector for faster adoption, policy clarity, and inter-ministerial coordination to advance higher ethanol blends, the body has emphasised the successful use of flex-fuel technology in different parts of the globe, including Brazil.

Brazil maintains its position as the world’s leading flex-fuel vehicle market, with a massive fleet, high blend mandates, and government support for technological as well as policy advances. Nearly all new passenger cars sold in the country are flex-fuel vehicles (FFVs).​

"There is an immediate need to enhance the blending up to the tolerance level of the existing vehicles to give some relief to the grain ethanol industry. The roadmap for ethanol blending beyond 20 per cent must be clear, ambitious, and supported by a forward-looking policy framework," said Dr CK Jain, President, GEMA.

“The industry has already invested to cater the enhanced requirements and ready to collaborate with stakeholders for enhance distribution infrastructure. However, timely government policies and cohesive inter-ministerial coordination will be essential to maintain the momentum," he added.

In India, the government is now moving rapidly towards higher blending rates and broader adoption of flex-fuel vehicles, after achieving an ambitious ethanol blending goal five years ahead of schedule. It has been pushing for flex-fuel technology, prompting automakers to focus on the segment.

Accelerating ethanol blending and flex-fuel vehicle adoption in the country can cut emissions, boost farmers’ income, and power its net-zero journey ambition, according to GEMA.

In July, the Centre achieved its Ethanol Blended Petrol (EBP) target of taking ethanol blending to 20 per cent -- broadly known as E20 -- five years ahead of schedule. Average ethanol blending in the country was recorded at 19.93 per cent at the end of the month, marking a significant milestone in the nation's journey towards clean energy. That was significantly higher than a reading of around 1.5 per cent in 2014 -- a nearly thirteen times surge in 11 years.

The milestone led to savings of about Rs 1.36 lakh crore in forex, a reduction of nearly 698 lakh tonnes in carbon dioxide emissions, payments of Rs 1.96 lakh crore to distilleries, and disbursements to the tune of Rs 1.18 lakh crore to farmers. The government has highlighted that the shift towards ethanol-blended fuel has not only bolstered energy security but also resulted in significant economic and environmental benefits.

Under the government's EBP programme, which is aimed at promoting the use of alternative and environmentally friendly fuels, oil marketing companies (OMCs) sell petrol blended with up to 20 per cent ethanol.

Ethanol is produced primarily by fermenting plant sugars from crops like corn and sugarcane. It is blended with gasoline to reduce vehicle emissions, improve octane rating, and decrease dependence on fossil fuels. Under E20, up to 20 per cent ethanol is blended in petrol.

Blending ethanol with petrol lowers carbon emissions, supports the economy by supporting farmers, and saves foreign exchange.