New Delhi: India's ethanol transition is entering its next phase, where the fuel can move from a blending component to a potential transport energy backbone capable of moderating exposure to external price shocks, KPMG said in a report titled "Beyond E20. The consultancy firm flagged an adaptive fuel system, multi-grade distribution and flex-fuel vehicles as critical to unlocking this role.
"Under low price environments characterised by a supply glut, the system remains anchored at baseline blending levels, allowing the fuel mix to benefit from favourable import economics while enabling diversion of ethanol to alternative pathways such as Sustainable Aviation Fuel," KPMG said.
