Union Road Transport and Highways Minister Nitin Gadkari on Wednesday strongly defended the Centre’s ethanol-blending policy, dismissing allegations of a conflict of interest and asserting that the initiative has not caused damage to vehicles. He challenged critics to present evidence of any petrol vehicle being harmed by E20 fuel, while emphasising that the programme is intended to reduce fuel imports, encourage cleaner energy and improve farmers’ incomes.
In an exclusive interview with India Today TV, Gadkari rejected claims that he had a personal financial interest in the ethanol programme, stating that his family’s sugar business existed long before the government introduced the ethanol policy and that his stake in ethanol production is minimal.
“I do not benefit from the ethanol policy. My share in ethanol production is only 0.07 per cent. Such a small stake cannot result in any meaningful financial gain,” he said, dismissing allegations that he stood to profit from the programme.
Refuting accusations of a conflict of interest, Gadkari said, “The allegation that I designed the ethanol policy for personal benefit is entirely unfounded. Someone with a 0.07 per cent stake cannot shape the country’s ethanol policy for private gain.”
He said India currently produces nearly 1,500 crore litres of ethanol annually through around 550 production units, with his share accounting for only 0.07 per cent of the total.
Gadkari stressed that his focus has always been on alternative fuels as a whole rather than ethanol alone, arguing that the policy helps reduce dependence on imported crude oil while increasing farmers’ earnings.
“I do not speak only about ethanol. I advocate alternative fuels. The use of ethanol will benefit farmers,” he said.
Highlighting that the policy was formulated collectively, Gadkari said ethanol blending was not his individual decision but the outcome of consultations with the Petroleum Ministry, Cabinet approval and scientific research.
“I did not decide on ethanol by myself. The entire process involves consultation with the Petroleum Ministry, the Cabinet and scientific evaluation,” he said.
Addressing allegations that ethanol-blended fuel damages vehicles, Gadkari challenged critics to provide proof.
“If anyone’s vehicle has been damaged because of ethanol, they should file a complaint with the dealer as well as my ministry. We will investigate the matter and provide appropriate relief,” he said.
He further asked, “Can you name even two people personally known to you whose petrol vehicles were damaged because of ethanol?”
According to Gadkari, automakers including Maruti Suzuki, Toyota, Tata Motors and Mahindra have not reported complaints linking ethanol-blended fuel to vehicle damage.
Referring to a recent case involving a Toyota vehicle, he said the investigation concluded that water contamination, rather than ethanol, was responsible for the problem.
“This is not a pilot project. Vehicles undergo testing for four years and cover lakhs of kilometres before they receive approval,” he said.
Describing the controversy as politically motivated, Gadkari alleged that there was “an attempt to malign me and discredit the ethanol programme”.
He also pointed out that ethanol is already widely used in countries including the US, Brazil, Japan, Germany, Thailand and Sweden, arguing that India’s policy is based on internationally accepted practices rather than an experimental approach.
The minister’s remarks come amid an ongoing debate over the impact of E20 petrol on fuel efficiency and the compatibility of older vehicles.
While the government maintains that there is no conclusive evidence showing E20 fuel damages vehicles, some vehicle owners and industry experts continue to express concerns about its long-term impact on vehicles originally designed to run on lower ethanol blends.
