E20 Policy: E20 petrol has been a topic of significant discussion ever since petrol and diesel prices began to rise. There was also much speculation regarding its allocation. Now, the Supreme Court has delivered a verdict providing relief to BPCL.

E20 Policy: E20 petrol—or ethanol-blended petrol—has been a subject of considerable discussion following the hike in petrol and diesel prices. The government has been actively advocating for it, while various debates regarding its allocation are also underway. Recently, the Supreme Court issued an order that has cleared up the confusion surrounding E20 allocation for the time being.

Supreme Court's Ruling

The Supreme Court recently ordered that there will be no changes to the ethanol allocation system for the 2025-26 period for now. According to an NDTV report, the Court issued this order while hearing a petition filed by Bharat Petroleum Corporation Limited (BPCL). This decision has brought significant relief to BPCL.

What is the matter?

The issue stems from a High Court ruling that directed Oil Marketing Companies (OMCs) to consider requests from certain distilleries to increase their ethanol allocation. BPCL challenged this High Court decision, arguing that granting higher ethanol allocations to specific distilleries could disrupt the ethanol procurement and allocation system implemented nationwide.

What happened during the hearing?

During the hearing, Attorney General R. Venkataramani, representing the Central Government, stated that the High Court's order could impact the government's policy of blending 20% ​​ethanol into petrol. It was also stated that contracts for ethanol supply for the 2025-26 period were finalized in October 2025, and several similar cases are currently pending in various High Courts across the country.

Responses sought from 24 parties, including the Central Government

In light of these arguments during the hearing, the Supreme Court has ordered the maintenance of the status quo for the time being. This means there will be no immediate changes to the existing ethanol allocation system for 2025-26. The Court has issued notices to 24 parties—including the Central Government and 23 distilleries—seeking their responses. The next hearing on the matter will take place after these responses are received.