The Union Petroleum Ministry has rejected reports that Bhutan refused to import India’s E20 petrol, stating no such export offer was ever made.
MoPNG emphasised that there is currently no proposal for exporting E20 fuel to Bhutan.
The clarification comes after a Bhutanese newspaper reported concerns over storage infrastructure and fuel handling for ethanol-blended petrol.
The Union Ministry of Petroleum and Natural Gas (MoPNG) on Sunday firmly rejected media reports suggesting that Bhutan had refused to import India’s E20 petrol, stating that no Indian oil marketing company (OMC) had ever offered to export the fuel to the Himalayan kingdom.
In an official clarification, the ministry said there is “no proposal” for exporting E20 petrol to Bhutan. The statement was issued in response to reports originating from the Bhutanese newspaper ‘The Bhutanese’, which claimed that the Bhutanese government had requested Indian public sector fuel suppliers to continue supplying regular petrol instead of the ethanol-blended E20 fuel.
According to the newspaper report, Bhutan’s concerns were primarily related to inadequate storage infrastructure and challenges in handling ethanol-blended fuel. However, the Indian government has categorically denied that any such formal request or discussion took place.
The ministry emphasised that India’s ethanol blending programme is progressing well domestically, with E20 petrol already available at thousands of fuel stations across the country. It further stated that India remains committed to supporting its neighbours in the energy sector, but no export proposal for E20 to Bhutan has been made so far.
The clarification aims to put an end to speculation and misinformation surrounding the issue. India and Bhutan share a strong and friendly relationship, with India being the largest supplier of petroleum products to the Himalayan nation.
The development comes at a time when India is aggressively pushing its ethanol blending programme as part of its energy security and environmental goals. The government has set a target of 20% ethanol blending (E20) in petrol by 2025, and the programme has seen significant progress in recent years.
Experts believe that while ethanol blending offers environmental benefits, some countries with limited infrastructure may prefer conventional petrol until their storage and distribution systems are upgraded.
The Ministry of Petroleum and Natural Gas has assured that all future energy cooperation with Bhutan will continue in a mutually beneficial manner, keeping in mind the infrastructure and requirements of the friendly neighbour.
