Oil Companies Dispute Karnataka’s Ethanol Content Allegations

oil companies dispute karnatakas ethanol content allegations

In a recent development, Indian Oil Corporation Limited (IOCL), Bharat Petroleum Corporation Limited (BPCL), and Hindustan Petroleum Corporation Limited (HPCL) have disputed claims made by the Karnataka government regarding the ethanol content in petrol sold in the state.

Disagreement Over Ethanol Content Claims

The Department of Food, Civil Supplies, Consumer Affairs, and Legal Metrology in Karnataka issued a press release stating that petrol at certain retail outlets contained between 26% and 31% ethanol. In response, the three public sector Oil Marketing Companies (OMCs) have asserted that these claims are “not supported by testing conducted in accordance with the prescribed statutory and technical procedures.”

The OMCs emphasized that the E20 petrol supplied nationwide, including in Karnataka, adheres to the Bureau of Indian Standards specification IS 17021 for ethanol-blended motor gasoline.

Concerns Over Testing Methodology

The oil companies have raised concerns about the testing methodology used in the October 2026 exercise, which they claim did not follow the procedures outlined in the Motor Spirit and High-Speed Diesel (Regulation of Supply, Distribution and Prevention of Malpractices) Order, 2005, and the Marketing Discipline Guidelines (MDG) 2024.

The OMCs pointed out that samples for testing should be drawn in the presence of their representatives and should follow a specific protocol, including the use of designated laboratories. However, the recent tests were reportedly conducted without OMC involvement, and the results were based on certificates from a third-party laboratory, lacking the technical details necessary for independent validation.

Rejection of Financial Loss Estimates

Additionally, the oil companies have rejected the Karnataka government’s claims of an annual consumer mileage loss of approximately Rs 62,000 crore and vehicle-repair costs of Rs 39,000 crore. They argue that these figures are speculative and not supported by any scientifically established assessment.

The companies highlighted that millions of vehicles have been operating on E20 fuel for several years without widespread issues, suggesting that the alleged problems with fuel quality and vehicle performance do not align with real-world data. They also noted that the Inter-Ministerial Committee, along with studies by the Automotive Research Association of India (ARAI) and the Society of Indian Automobile Manufacturers (SIAM), has examined the performance and mileage implications of E20 fuel.

Call for Further Investigation

The OMCs have requested the Karnataka government to provide complete documentation of the sampling process, laboratory reports, and test methodologies. They seek access to the counterpart samples for independent verification at an authorized laboratory, with the presence of both state government and OMC representatives.

Source: NDTV India