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SC To Hear Plea Against E20 Petrol On Sept 1, Seeks Ethanol-Free Option Amid Insurance Cover Woes

The Supreme Court will, on September 1, take up a public interest litigation (PIL) challenging the Union government’s policy of rolling out 20 per cent ethanol blended petrol (E20) without providing consumers an option to purchase ethanol-free fuel.

The matter will be heard by a bench comprising Chief Justice of India (CJI) BR Gavai, Justice K Vinod Chandran and Justice NV Anjaria, according to a report by Bar and Bench. The petition has been filed by advocate Akshay Malhotra.

Vehicles manufactured before April 2023 flagged as incompatible

The plea states that vehicles manufactured in India prior to April 2023 are not designed to run on fuel mixed with 20 per cent ethanol. It further claims that even some BS-VI compliant vehicles, as recent as two years old, are not suitable for such a blend.

According to submissions, research bodies and automobile manufacturers have indicated that ethanol blending can lead to corrosion of engine components, reduced fuel efficiency, and premature wear and tear of vehicles.

Insurance and warranty concerns raised

The petition highlights that any such vehicle damage will not be covered by insurance companies, leaving consumers without protection.

“As the vehicles are not compatible with ethanol blended petrol which will result in damage to the said vehicles, the claim raised in this regard will not be covered by the manufacturers or the insurance companies as the consumers have violated the terms specified,” the plea states, as per the report.

Comparison with global practices

The petition also draws attention to practices abroad, noting that in the United States, a blend of up to 10 per cent ethanol is common but ethanol-free petrol is also available, while in the European Union, both 5 per cent and 10 per cent blends are sold with proper labelling.

“In India, without informing the consumers, only ethanol blended petrol is made available to the public without any labelling or display of composition of the fuel,” the plea has alleged.

The petitioner has urged the apex court to direct the government to ensure that ethanol-free petrol is available at all fuel stations, mandate clear labelling of ethanol content, enforce provisions of the Consumer Protection Act, and order a nationwide study on the impact of E20 on vehicles.

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