Nepal To Join Ethanol Fuel Club With E10 Rollout As E20 Debate Rages In India

Published 14 July 2026 · india

Nepal To Join Ethanol Fuel Club With E10 Rollout As E20 Debate Rages In India Published By, Last Updated: July 14, 2026, 16:33 IST Petrol

Nepal To Join Ethanol Fuel Club With E10 Rollout As E20 Debate Rages In India Published By, Last Updated: July 14, 2026, 16:33 IST Petrol sold in Nepal is expected to contain up to 10% ethanol, although the government has retained the authority to revise the blending ratio through future Cabinet decisions. The draft standards come months after Nepal's Cabinet approved an order allowing the use of ethanol-blended petrol. Nepal has taken another step towards introducing ethanol-blended petrol, with the Bureau of Standards and Metrology releasing a draft standard that lays down quality, storage and labelling requirements for ethanol fuel. According to a report by The Kathmandu Post, the proposed standard mandates that ethanol used for fuel blending must be clear, transparent and free from suspended solid particles. It also places strict restrictions on substances that can be used during production. The draft specifically prohibits the use of harmful denaturants such as methanol, turpentine, ketones and tar, citing concerns that these substances could damage vehicle engines, rubber components and fuel systems. The Bureau has invited comments and suggestions from consumers, industry stakeholders and experts before the standards are finalised, saying the feedback will help make the framework more practical, scientific and effective.

Nepal Cabinet Has Already Approved Ethanol-Blended Petrol The draft standards come months after Nepal’s Cabinet approved an order allowing the use of ethanol-blended petrol. Under the policy, petrol sold in the country is expected to contain up to 10 per cent ethanol, although the government has retained the authority to revise the blending ratio through future Cabinet decisions. The order also places restrictions on the raw materials that can be used for ethanol production. To avoid any impact on food security, the government has barred the use of edible grains. Instead, ethanol producers will be permitted to use molasses from sugar mills, Napier grass, agricultural and forestry biomass, rice straw, corn stalks, wheat husks, spoiled grains unfit for human consumption, cassava, yeast and other fermentation-related inputs. A government-appointed committee will determine ethanol prices before the start of each fiscal year. Nepal’s Move Comes Amid Debate Over E20 Fuel in India Nepal’s push towards ethanol blending comes at a time when ethanol-mixed petrol remains a subject of debate in neighbouring India. India achieved 10 per cent ethanol blending in petrol during 2021-22 and reached the 20 per cent blending target in 2025.