Plea claimed millions of drivers were forced to use non-compatible fuel.
Centre argued E20 helps sugarcane farmers and boosts green energy goals.
Court directed authorities to highlight ethanol content at all pumps.
The Supreme Court dismissed a Public Interest Litigation (PIL) that contested the nationwide introduction of 20 per cent ethanol-blended gasoline (EBP-20), claiming that millions of drivers were compelled to consume fuel that was not intended for their cars.
According to PTI, the arguments presented in the appeal submitted by counsel Akshay Malhotra, who asked the Ministry of Petroleum and Natural Gas to guarantee the provision of ethanol-free gasoline at all filling stations, were rejected by a bench made up of Chief Justice B R Gavai and Justice K Vinod Chandran.
The Centre rejected the argument, stating that sugarcane farmers profit from E20 fuel.
Additionally, the SC requested that the authorities make sure that consumers were informed about the ethanol compatibility of their vehicles at the time of fuel distribution and that the ethanol concentration be prominently displayed on all gasoline pumps and dispensing equipment.
PTI reported that the plea said the authorities were directed to conduct a "nationwide impact study on mechanical degradation and efficiency loss due to ethanol blended fuel to the extent of 20 per cent usage in non-compliant vehicles".
It also said that millions of drivers were being left powerless at the pumps and had to purchase fuel that many of their cars could not use.
According to the petition, vehicles made before 2023, including some more recent BS-VI models, are incompatible with high ethanol blends.
