Kejriwal Labels India's E20 Ethanol Fuel Rollout an 'Ethanol Scam,' Cites Widespread Driver Complaints
India's nationwide E20 ethanol-blended petrol rollout has sparked political controversy after Aam Aadmi Party leader Arvind Kejriwal called it an "ethanol scam," citing complaints of engine stalls, fuel system damage, and reduced efficiency. While the government highlights major foreign exchange savings and farmer support, officials maintain that newer vehicles are fully compatible.
On July 3, Kejriwal alleged that drivers have reported serious issues after using E20 ethanol-blended petrol, including engine stalling, damage to fuel system components, and reduced vehicle efficiency. He announced that he would write to Prime Minister Narendra Modi regarding the matter and said he is collecting public feedback through comments and direct messages from affected vehicle owners to document their experiences.
मोदी सरकार के लिए पूरा देश एक experiment lab है। लोगों पर जबरदस्ती E20 पेट्रोल थोपा जा रहा है। Ethanol से लोगों की गाड़ियां बंद पड़ रही हैं, parts खराब हो रहे हैं और mileage गिर रहा है। लोगों में बहुत ज़्यादा गुस्सा है।
— Arvind Kejriwal (@ArvindKejriwal) July 3, 2026
मैं प्रधानमंत्री जी को इस विषय पर चिट्ठी लिखने जा रहा हूँ।… pic.twitter.com/n9C6tpWyQi
The nationwide E20 ethanol-blended petrol program has been promoted as a major initiative aimed at reducing fuel imports and supporting the agricultural sector. According to the available figures, the program has helped save approximately ₹1.9 lakh crore in foreign exchange since the 2014-15 financial year while providing farmers with benefits worth around ₹1.6 lakh crore during the same period.
Despite these reported economic gains, several drivers have claimed that the fuel has caused significant damage to vehicle fuel systems and affected overall performance. Responding to these concerns, officials have maintained that vehicles manufactured after 2023 are fully compatible with E20 ethanol-blended petrol. They further stated that older vehicles require only minor upgrades to operate safely with the new fuel.
The controversy has intensified the debate over India's transition to ethanol-blended fuel, with political criticism focusing on reported vehicle performance issues while the government continues to highlight the program's economic benefits, foreign exchange savings, and support for the farming community.

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