The E20 target is a national policy goal and a concept within India's Ethanol Blended Petrol (EBP) Programme. It mandates that petrol sold in the country must contain 20% ethanol and 80% petrol by volume. The EBP Programme was launched in 2003 to reduce India's dependence on imported crude oil, improve farmer incomes, and lower vehicular emissions.
The target was originally set for 2030 under the National Policy on Biofuels, 2018, but was later advanced to the Ethanol Supply Year (ESY) 2025-26 by the Cabinet Committee on Economic Affairs (CCEA) in December 2020. India achieved approximately 20% blending during ESY 2024-25, years ahead of the original schedule. The mechanism works by procuring ethanol, an alcohol-based fuel produced domestically from agricultural feedstocks like sugarcane, molasses, maize, and surplus grains, and blending it with petrol at depots before distribution.
Key provisions supporting the E20 target include the expansion of approved feedstocks, administered ethanol pricing, and the Bureau of Indian Standards (BIS) setting standards for E20 blends. The Ministry of Road Transport and Highways (MoRT&H) also notified G.S.R. 156(E) in March 2021 for the adoption of E20 as an automotive fuel. The transition has been rapid, with E20 becoming the standard fuel at most retail outlets, replacing earlier blends like E5 and E10. This shift connects to the broader goal of energy security and the next target, E30 (30% blending), which is expected to roll out between 2028 and 2030. Since April 2023, all new vehicles manufactured in India are certified and designed for E20 compatibility.