Ethanol trade-offs need a close look for India to optimize its blend of energy policies
Ethanol blending, a strategic initiative in India, aims to bolster energy security, reduce oil imports, align with climate goals, and support farmers. However, motorists report reduced mileage and vehicle wear-and-tear due to ethanol's lower energy value and water absorption, especially in older cars. The Centre must scrutinize the scale-up plan, weighing benefits against critical trade-offs. Concerns include potential implicit cross-subsidies for farmers at motorists' expense, food security risks if crop allocation shifts excessively, and appropriate calibration with the electric vehicle transition. Policy requires a careful, evolving balance of these complex factors and cost arithmetic.
LiveMint · Mint Editorial Board · Jul 9, 2026 at 2:00 AM