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In a landmark ruling amid the ongoing debate over E20 petrol, the Raipur District Consumer Disputes Redressal Commission in Chhattisgarh has directed a car manufacturer to either provide a new vehicle or refund nearly Rs.20 lakh to a customer who claimed his car's engine was damaged after using E20 fuel.

The decision is being seen as one of the first major consumer court rulings in India linking vehicle damage to the use of E20 petrol, a fuel containing 20% ethanol introduced under the Centre's ethanol blending programme. Customer Claimed E20 Petrol Damaged the Engine

According to the complaint, the car owner began facing repeated engine problems after filling the vehicle with E20 petrol.

The issues reportedly included:

• Poor engine performance
• Frequent misfiring
• Gradual drop in mileage
• Reduced overall engine efficiency

Despite several visits to an authorised service centre, the problems persisted, eventually leading to costly engine repairs.

The vehicle owner argued that the defects were directly linked to the use of E20 petrol.

Carmaker Rejected the Allegations

The automobile manufacturer and its dealer denied the claims, arguing that the vehicle model was fully compatible with E20 fuel.

 

They maintained that the engine issues were the result of routine wear and tear, maintenance-related problems, or other unrelated mechanical causes rather than the fuel itself.

Why the Consumer Court Ruled in the Customer's Favour

The Consumer Forum was not convinced by the manufacturer's arguments.

In its order, the Commission observed that the customer had repeatedly approached the authorised workshop for repairs, but the same defects continued to occur.

It held that the repeated repair attempts and the failure to permanently fix the vehicle strengthened the customer's case that the defects had not been effectively addressed.

The Commission further concluded that the vehicle's engine was not suitable for use with E20 fuel, yet the car had been sold without adequately informing the buyer. It described this as deficiency in service and an unfair trade practice.

No Practical Alternative to E20 Petrol

The Commission also made an important observation regarding fuel availability.

It noted that E20 petrol has become the most commonly available fuel at many petrol pumps, leaving consumers with little or no practical choice.

The order stated that motorists cannot reasonably be expected to avoid E20 fuel in areas where conventional petrol is unavailable.

Court Orders Refund, Replacement and Compensation

Allowing the complaint, the Commission directed the manufacturer and dealer to:

• Replace the vehicle with a new one or refund approximately Rs.20 lakh paid by the customer.
• Reimburse the vehicle owner's repair expenses.
• Pay compensation for mental agony and litigation costs.

The Commission also fixed a deadline for compliance and warned that interest would be payable if the compensation was not paid within the stipulated period.

E20 Petrol Debate Continues

The ruling comes at a time when the Centre is expanding the use of E20 petrol under its ethanol-blending programme aimed at reducing crude oil imports and promoting cleaner fuels.

However, the move has triggered concerns among some vehicle owners over its long-term impact on engines.

Union Road Transport and Highways Minister Nitin Gadkari has repeatedly dismissed allegations that E20 petrol damages vehicle engines, calling such claims misinformation circulating on social media.

He has maintained that the government has not received any official complaints linking E20 fuel to engine failures.

At the same time, Gadkari has acknowledged that ethanol has a lower calorific value than petrol, meaning fuel efficiency may decline slightly, particularly during high-speed driving. He has also said motorists can still choose 100% petrol, although it would come at a higher cost.