Chhattisgarh’s former Deputy Chief Minister, T.S. Singhdeo, has urged the Centre to rationalise the tax structure on E20 ethanol-blended petrol to provide relief to consumers.
In a letter to Union Petroleum and Natural Gas Minister Hardeep Puri, Singhdeo requested the urgent need to rationalise the tax structure of E20 ethanol blended petrol. He said that a saving of nearly Rs 5 per litre can and should directly reach citizens, instead of being pocketed by the government.
He explained that while the government boasts of savings of ₹43,000 crore from ethanol blending, on the ground, people are still paying ₹99–100/L for petrol in Chhattisgarh.
According to Singhdeo, the actual cost of E20 fuel, including taxes, is ₹91.45 per litre, which becomes ₹94.95 per litre with dealer commission, while the current retail price ranges from ₹99.44 to ₹100.55 per litre. This shows a direct gap of ₹5/L- the saving that could go straight into the pockets of citizens if only the govt rationalises its tax structure.
India continues to make strong progress in its Ethanol Blended Petrol (EBP) Programme, significantly scaling up both ethanol production and blending levels. The country has successfully achieved 20% ethanol blending in petrol in 2025, five years ahead of its target.
