According to a Mint report citing people familiar with the situation, India is preparing a nationwide push to accelerate the adoption of flex-fuel vehicles (FFVs) that can run on ethanol blends of up to E85, which comprise 85% ethanol and 15% petrol. This is because the focus on reducing India's reliance on crude imports is becoming more pressing due to rising geopolitical tensions and oil market volatility.
The action represents a possible departure from the current 20% ethanol blending requirement, which was implemented in 2025 and caused complaints from customers over decreased mileage and engine performance issues.

On Monday, representatives from the Union's ministry of petroleum and natural gas will convene to examine a roadmap created by a working group. One of the individuals mentioned above stated, seeking anonymity, "The working group constituted for preparing the plan for the rollout of FFVs will make a presentation during the meeting."
According to the report, the working group consists of members from government agencies, automakers, and oil marketing firms. Senior executives of state-owned oil companies, members of the Society of Indian Automobile Manufacturers (SIAM), and representatives from important ministries will hear its proposals.

The demand for policy coincides with increased volatility in the world's oil markets. Amid continued hostilities in West Asia, crude prices have remained erratic, even surpassing $100 per barrel before declining after a ceasefire. But worries about fresh interruptions are still present.
Concerns have been heightened by recent events in the Strait of Hormuz. Two ships were compelled to return to the Persian Gulf after reporting a fire incident while leaving the key passage, according to the ministry of ports, shipping, and waterways.
Given that a significant portion of petrol is consumed in the transportation sector, authorities are beginning to see fuel diversity as essential to energy security.