The Society of Indian Automobile Manufacturers (SIAM) has raised concerns over the quality of E20 petrol, saying automobile companies are reporting a noticeable increase in failures of fuel system and exhaust-related components, as per the CNBC-TV18 report.
As per the report, in a letter to the Ministry of Petroleum and Natural Gas, the industry body said fuel injectors, fuel pumps, exhaust gas recirculation (EGR) valves and other parts in contact with fuel are being replaced more frequently than before.
Following discussions with automobile manufacturers and oil marketing companies (OMCs), the Centre has directed OMCs to strengthen fuel quality checks at retail fuel stations.
The government has also asked them to identify the source of contamination and improve monitoring across the fuel distribution network as complaints linked to fuel quality increase.
According to SIAM, investigations carried out by its member companies point to chloride contamination as a major reason for corrosion in vehicle components.
Fuel samples collected from vehicle tanks contained chloride levels of up to 500 mg/kg, while samples taken from retail outlets recorded levels of up to 350 mg/kg.
SIAM has proposed that the Bureau of Indian Standards (BIS) introduce a mandatory chloride limit of less than 1 mg/kgfor commercial E20 and E85 fuels, and less than 3 mg/kg for anhydrous ethanol used for blending. It said the proposal has been pending with BIS for more than two years.
The industry body has also highlighted excessive moisture content in E20 fuel. It noted that several retail fuel samples recorded moisture levels of more than 10,000 mg/kg, against the permissible limit of 3,000 mg/kg.
According to SIAM, excessive moisture can cause phase separation in ethanol-blended fuel, affecting engine performance, and, in some cases, leaving vehicles unable to restart after refuelling.
SIAM has also pointed to ageing underground storage tanks and pipelines at petrol pumps as possible sources of contamination and has recommended periodic inspections and audits. It has further sought mandatory chloride limits for diesel fuel, where the parameter is currently optional.
Read More: India’s July 2026 Fuel Exports Reach 1-Year High Driven by Strong Diesel Margins!
The Centre has initiated additional fuel quality checks following SIAM's concerns over contamination in E20 petrol. The industry body has also sought changes to fuel quality standards and mandatory contamination limits.
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Published on: Aug 4, 2026, 2:37 PM IST
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