energy

Karnataka accuses state fuel firms of understating ethanol share in petrol

Minister Rizwan Arshad rejected the OMCs' response and called fuel testing in the companies' own labs a conflict of interest.

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what happened

According to Moody's, Karnataka minister Rizwan Arshad said state-owned oil marketing companies have not answered the central question of how much ethanol they blended into petrol. He said the state's own tests point to blends of up to E31.2. The state government brought in an accredited third-party laboratory and demanded an independent system for checking fuel.

A government press note says the first 63 samples were tested by the labs of IOCL, BPCL and HPCL, yet none of their reports stated the ethanol percentage. The companies insist that E20 petrol meets the IS 17021 standard, and the petroleum ministry reported that all 893 samples drawn across 27 states and territories conformed.

why it matters

For markets the story is mostly local: the dispute concerns fuel quality control and ethanol blending rules rather than overall crude supply.

tags

instruments

IOCLBPCLHPCLEthanolBrent

sources

  1. Karnataka Minister rejects OMCs rebuttal amid Ethanol percentage row, claims "conflict of interest" in testing — Moody's, 9 November 2026 at 09:22 UTC

prepared by the newsmetry newsroom with ai assistance from the sources listed below. not investment advice.

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