IOCL, BPCL and HPCL pay ₹70.2/litre for ethanol, above estimated petrol cost

PSU oil marketers procured 705.43 crore litres of ethanol worth ₹49,577 crore through June in ESY 2025-26. The average ₹70.2-per-litre purchase price exceeds an estimated ₹53 refinery-gate petrol cost, while the government has not cleared blending beyond E20.

— Filed Tue, 21 Jul, 2026, 17:28 IST · Source Financial Express · BrandWagon · Updated

Indian PSU fuel retailers are paying about Rs 70.2 per litre for ethanol, above an estimated Rs 53 refinery-gate petrol cost. The government has not approved blending beyond E20, despite ethanol procurement nearing last year's pace.

Why this matters

IOCL’s ethanol buying continues the PSU fuel retailers’ spending pattern: a recent signal showed they spent over ₹1.72 lakh crore on ethanol across three supply years.

Retail-company signals are accelerating, up 960700% QoQ.

Also reported by