New Delhi: Aam Aadmi Party leader Arvind Kejriwal has called for a reconsideration of the government’s ethanol-blending policy, arguing that a continued shift away from petrol-powered vehicles could have wider implications for the economy.
Kejriwal made the remarks while responding to a social media post claiming that petrol car inventories were accumulating at dealerships as consumers increasingly preferred CNG and electric vehicles amid concerns surrounding E20 fuel.
“People have stopped buying petrol cars. Govt shud reverse its ethanol policy. Else it will hurt economy very badly,” Kejriwal said in his post.
E20 policy at centre of debate
The remarks come amid an ongoing public debate over the use of E20 petrol, a fuel containing 20 per cent ethanol blended with petrol. The government’s ethanol-blending programme is aimed at reducing dependence on imported crude oil and increasing the use of domestically produced ethanol.
However, concerns have also been raised by some vehicle owners over the compatibility of older petrol vehicles with higher ethanol blends.
Several motorists have claimed on social media that the increased ethanol content has contributed to mechanical or performance-related issues in their vehicles. These claims have added to uncertainty among consumers considering the purchase of petrol-powered cars.
Shift towards alternative fuel vehicles
The debate comes at a time when consumers have more alternatives in the passenger vehicle market. CNG-powered vehicles and electric cars have gained popularity among buyers looking to reduce running costs or avoid concerns associated with conventional petrol vehicles.
The social media post cited by Kejriwal claimed that dealerships were witnessing an accumulation of petrol car inventory as buyers increasingly opted for CNG and EV models.
However, the extent to which E20 concerns alone are influencing purchasing decisions remains a matter of debate, with vehicle prices, fuel costs, electric vehicle adoption and changing consumer preferences also playing a role.
Call for policy reassessment
Kejriwal’s comments have once again brought the ethanol policy into the political spotlight. He argued that the government should reconsider its current approach if the policy is contributing to a decline in demand for petrol vehicles.
The wider discussion is likely to continue as India pushes ahead with ethanol blending while the automobile industry simultaneously undergoes a major transition towards electric and alternative-fuel vehicles.