New Delhi: The use of E20 petrol led to savings close to Rs 30 per litre for consumers at a time when there had been a global crude oil crisis, the petroleum ministry claimed. This was cited in an official release issued on Friday.
The official statement also stated, as reported by HT, that the petrol prices in Delhi could have increased to Rs 125 per litre if oil marketing companies had not added ethanol to petrol. The global crude oil prices had increased to US$135 per barrel.
E20 petrol contains 20 per cent ethanol and 80 per cent petrol. The move by the govt to introduce E20 petrol faced criticism from opposition parties and consumer groups.
The ministry has dismissed claims that foodgrain meant for poor families was being diverted for ethanol production. It also refuted the claims that subsidised rice supplied by the food corporation of India (FCI) was being used for the programme.
The ministry claimed that the ethanol-blended petrol (EBP) programme was aimed at improving “India’s energy security, reduce dependence on imported crude oil and support farmers while safeguarding food security”.
During global crude oil crisis, the ministry claimed that the petrol prices would have increased to Rs 125 per litre.