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Centre dismisses reports of Bhutan rejecting E20

The central government denied reports that Bhutan rejected an Indian E20 petrol proposal, stating no such offer existed.

NEW DELHI

The central government dismissed recent reports claiming that Bhutan rejected an Indian proposal to import E20 petrol. Officials clarified that Indian Oil Marketing Companies never made such an offer, and there is currently no proposal to export the ethanol-blended fuel to the neighboring country.

The official clarification followed news reports claiming Bhutan turned down the cleaner fuel due to major technical and structural challenges. Those reports, citing Bhutanese officials, suggested that the country preferred conventional petrol over E20 due to worries about vehicle compatibility and weak storage infrastructure. Specifically, the articles highlighted the moisture-absorbing nature of ethanol, noting that Bhutan’s aging underground storage tanks in rough mountainous terrains could let water seep in, ruin fuel quality, and damage car engines.

However, the Centre completely denied these claims, stating that the rumors were entirely without basis. India remains focused on its own domestic E20 program, which successfully blends 20 percent ethanol with regular petrol. This green initiative serves as a core part of the government’s strategy to lower expensive crude oil imports, cut harmful vehicle emissions, and boost local biofuel production.

While the cleaner fuel is now widely available across India as part of a nationwide rollout, officials emphasized that it was never pushed onto Bhutan. The government reassured the public that trade relations remain steady and requested media outlets to stop spreading unverified claims regarding bilateral fuel agreements.

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