Several Asian countries are stepping up efforts to increase the use of ethanol-blended fuel as part of plans to cut fuel imports and support domestic agriculture, The Hindu businessline reported.
Indonesia, the region’s largest gasoline importer, has pushed back its target for introducing a mandatory 10 per cent ethanol blend in gasoline to 2028. The plan, earlier set for 2027, has been delayed due to limited ethanol supplies, energy ministry official Tri Winarno said.
Under the revised timeline, Indonesia aims to produce 0.80 million kilolitres of bioethanol by 2028. The country’s gasoline demand currently stands at 39.9 million kilolitres, according to ministry data.
India has already moved ahead with higher blending. The country raised ethanol blending in gasoline to 20 per cent last year, up from 12 per cent in 2023. The move is aimed at reducing dependence on crude oil imports and managing surplus sugar production.
In Thailand, the government has extended subsidies on biofuels for two more years until September 24, 2026, to encourage the use of E20 and other blended fuels. The country’s oil fuel fund supports ethanol made from sugarcane and cassava, as well as biodiesel produced from palm oil. Authorities are gradually shifting towards making E20 the standard fuel while phasing out older fuel grades.
Vietnam has announced that it will fully switch to ethanol-blended gasoline from 2026. From June 1, 2026, all gasoline sold nationwide must contain 10 per cent ethanol to produce E10. However, E5 RON92 — which contains 5 per cent ethanol — will continue to be allowed until the end of 2030. While B5 and B10 biodiesels are not yet mandatory, the government is encouraging their production and use.
The Philippines has required a 10 per cent ethanol blend in gasoline under its Biofuels Act of 2006, with E10 in place nationwide since 2012. In 2024, the Department of Energy allowed oil companies to sell E20 on a voluntary basis. However, no deadline has been set for making the 20 per cent blend compulsory, as authorities are assessing domestic ethanol supply and vehicle compatibility.
Across the region, governments are balancing fuel security goals with supply constraints as they expand the role of biofuels in their energy mix.
