56% of Older Petrol Vehicle Owners Report Lower Mileage after E20 Rollout: Survey

Moneylife Digital Team 15 June 2026

Consumer Interest

More than half of owners of petrol vehicles manufactured before 2023 have reported a decline in fuel efficiency since early 2025, while many have also experienced engine performance issues, higher maintenance costs and fuel-system-related problems following the nationwide adoption of E20 petrol, according to a new survey by LocalCircles.

The survey comes more than a year after E20 petrol was rolled out across India and follows the April 2026 mandate requiring E20 fuel to meet a minimum research octane number (RON) of 95 nationwide.

According to LocalCircles, the findings indicate that a substantial number of owners of older petrol vehicles believe the real-world impact of E20 petrol on vehicle performance and operating costs is significantly higher than official estimates.

Engine-performance issues were the second most frequently reported concern, with 43% of respondents citing problems such as power loss, engine knocking or rough idling.

In addition, 34% said they had experienced higher repair and maintenance costs, while 20% reported fuel-system-related issues.

The survey also found that 19% of respondents experienced increased engine heating and 16% reported vehicle-starting problems. Another 19% said they had encountered multiple issues simultaneously. Since respondents were allowed to select more than one option, the cumulative percentage exceeded 100%.

Only 26% of respondents said they had not experienced any issues with their vehicles since early-2025.

Follow-up to Earlier Survey

The latest survey builds on an earlier LocalCircles study released on 5 June 2026, which focused on the financial impact of reduced mileage following the transition to E20 petrol.

In that survey, involving more than 42,000 owners of pre-2023 petrol vehicles, more than five in 10 respondents said they had incurred additional expenditure of ₹5,000 to ₹25,000 or more since early 2025 due to lower fuel efficiency and increased repair costs.

The earlier survey also found that 55% of respondents wanted the option to switch back to ethanol-free E0 petrol or lower-blend E10 petrol, either immediately or if such fuels were available at prices comparable to E20. Only 12% said they preferred continuing with E20 petrol.

According to LocalCircles, those findings suggested that the economic burden experienced by owners of older vehicles was considerably higher than the 1%-6% reduction in fuel efficiency estimated by the Automotive Research Association of India (ARAI).

Concerns Grow as Ethanol Blending Expands

India has continued to expand its ethanol-blending programme as part of efforts to reduce crude oil imports, support domestic agriculture and lower carbon emissions.

The survey notes that government policy remains supportive of ethanol blending and discussions are underway regarding fuel blends higher than E20. It also points out that the Supreme Court, in 2025, upheld the E20 rollout despite requests from some vehicle-owners and stakeholders for ethanol-free alternatives.

Against this backdrop, LocalCircles said the latest findings suggest that the concerns of owners of older petrol vehicles extend beyond mileage loss and include a wider range of mechanical and operational challenges.

Need for Additional Support

The survey report states that as India advances its ethanol-blending roadmap, policymakers, automobile manufacturers and fuel suppliers may need to pay greater attention to the experiences of owners of legacy vehicles.

According to LocalCircles, additional safeguards, consumer-awareness measures, technical-support mechanisms and a review of fuel choices may be required to address concerns raised by owners of older vehicles.

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50% of Owners of Older Petrol Vehicles Want Return of E0/E10 Fuel; Many Report ₹5,000-₹25,000 Extra Costs after E20 Rollout: LocalCircles

Comments

User

mgnsrlt

3 months ago

Another decision taken in haste, without consulting stakeholders or considering the long term impact of such a move. More to do with optics than anything else!