The move could help reduce LPG import dependence while creating an additional use for surplus domestic ethanol capacity
The government is examining ethanol as a cooking fuel to reduce dependence on imported liquefied petroleum gas (LPG) and expand cleaner alternatives for household cooking, the Ministry of Petroleum and Natural Gas (MoPNG) told Parliament.
The move could also provide an outlet for surplus ethanol production capacity in the country, the ministry said.
The LPG Equipment Research Centre (LERC), a joint undertaking of Indian Oil Corporation, Hindustan Petroleum Corporation and Bharat Petroleum Corporation, is working with public sector oil marketing companies (OMCs) to develop ethanol-based cooking solutions.
The initiative forms part of the government’s efforts to broaden the availability of alternative cooking fuels while reducing reliance on conventional fossil fuel-based options.
Blending Cap Remains At 20 Per Cent
The government has not taken any decision to increase the ethanol blending level in petrol beyond 20 per cent, MoPNG said.
The ministry also said blending ethanol with diesel had not proved viable. Trials found that ethanol-blended diesel failed to meet the prescribed flash point requirement, with the flash point falling substantially because of the presence of ethanol.
The government’s position comes amid wider scrutiny of the country’s ethanol policy, including the availability of domestic supplies and the role of ethanol in reducing dependence on imported fossil fuels.
No US Ethanol For Blending
The clarification also comes after the Ministry of Commerce and Industry rejected reports that India had agreed to import large volumes of ethanol from the United States for fuel blending.
The ministry described reports suggesting that India was importing or preparing to import substantial quantities of US ethanol for blending as “baseless and factually incorrect”.
It said ethanol required under the Ethanol Blended with Petrol Programme (EBP) is sourced entirely from domestic producers, with no imports from the US being used for fuel blending.
The ministry further said India had made no concession or commitment on ethanol imports for fuel blending during trade discussions with the US. The country’s ethanol procurement and blending policy continues to be determined by domestic requirements, it said.
OMCs Defend E20 Quality
Separately, state-owned OMCs said expanded testing of E20 petrol across the country had not found evidence of excessive moisture or chloride contamination.
The testing followed media reports alleging moisture and chloride contamination in E20 petrol, which contains 20 per cent ethanol blended with petrol.
Indian Oil Corporation, Bharat Petroleum Corporation and Hindustan Petroleum Corporation said the exercise covered the fuel supply chain and found quality to be “consistently well within prescribed limits”.
“Consumers should continue to use E20 petrol with confidence, as the fuel supplied through the OMC network conforms to the prescribed quality specifications and is backed by robust quality assurance and monitoring systems designed to safeguard consumer interests at every stage of the supply chain,” the companies said.
The government’s exploration of ethanol for cooking therefore extends the fuel’s role beyond transport, while its existing petrol-blending programme remains capped at 20 per cent and continues to rely on domestic ethanol supplies.

