Samajwadi Party (SP) national president and former Uttar Pradesh Chief Minister Akhilesh Yadav on Monday launched a sharp attack on the central government over its ethanol-blended fuel policy. Yadav alleged that the policy has become a mechanism for profiteering that benefits the government, ethanol producers and oil companies at the expense of ordinary vehicle owners.

In a statement posted on X, Yadav said, “The argument given in support of ethanol is that it will reduce pollution and the import bill will decrease because dependence on crude oil will lessen, but the government is not telling us that this causes a drop in vehicle mileage and vehicles are getting damaged faster…”

He described the policy as a “tri-mixture of government adulteration”, alleging a partnership between the three stakeholders that profits while consumers bear the cost.

The SP chief claimed ethanol-blended fuel is causing multiple problems for vehicle owners, including reduced mileage, increased starting issues and faster wear and tear. He said lower mileage forces owners to spend more on fuel, while vehicles are also breaking down more frequently, pushing up maintenance costs. “…the resale value of the vehicle has decreased, and its overall lifespan as well,” he posted on X.

Design mismatch creating complications, says Yadav

Yadav further alleged that ethanol blending is accelerating corrosion and other technical problems, particularly in older vehicles that were not originally designed for ethanol-blended fuel. He said this design mismatch is creating fresh complications for owners of such vehicles.

“Due to ethanol, problems of both rust and junk are increasing. Old vehicles are not made according to ethanol standards, which is why insurance companies have their reservations, and they get another excuse not to pay claims when cars or bikes get damaged,” his post read.

Inflation, environmental impact and E20 fuel policy

Linking the issue to the broader economic climate, Yadav said that at a time when inflation is already straining household budgets, high fuel prices and higher repair costs have only added to their woes.

Yadav also raised concerns about the broader economic and environmental impact of ethanol production. “The truth is that when fuel is made from food items, food inflation will rise, and along with that, it will also harm the environment because ethanol production consumes a lot of water,” he said.

“The government should explain why it is exploiting the public for the sake of a few profiteers,” the SP president concluded his statement questioning the Centre’s motives.

Yadav’s remarks add to the opposition’s growing scrutiny of the government’s ethanol blending programme. The new policy on blended fuel is positioned by the government as a key component of India’s push toward energy self-reliance and reduced carbon emissions.

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