E20 Petrol Row: Karnataka CM DK Shivakumar Demands Compensation for Affected Vehicle Owners

It is Congress vs the Bhartiya Janata Party once again. The Congress-led Karnataka government led by D.K. Shivakumar and his minister Rizwan Arshad have stirred the hornet’s nest by raising serious questions about E-20 Petrol.

Karnataka Chief Minister D.K. Shivakumar has demanded a compensation mechanism for vehicle owners affected by alleged excessive ethanol blending in petrol, escalating the state’s confrontation with the Centre and public sector oil marketing companies.

Shivakumar has also called for public disclosure of ethanol content at petrol pumps and strict action against oil companies found supplying petrol beyond the prescribed E20 limit.

The controversy intensified on Monday after Karnataka’s Food, Civil Supplies and Consumer Affairs Minister Rizwan Arshad challenged the response issued by Indian Oil Corporation Limited (IOCL), Bharat Petroleum Corporation Limited (BPCL) and Hindustan Petroleum Corporation Limited (HPCL).

DK Shivakumar Demands Compensation for Vehicle Owners

Shivakumar has proposed an E20 Damage Compensation Fund to compensate vehicle owners who suffer damage allegedly linked to excessive ethanol blending.

He has also demanded mandatory disclosure of ethanol percentages at petrol stations, public access to petrol pump audit reports and legal action against companies found violating prescribed limits.

The Karnataka Government claims that testing of 63 petrol samples collected from seven districts found ethanol content exceeding 20%, with some samples reportedly recording levels as high as 31.2%.

Minister Rizwan Arshad Challenges OMCs

Rizwan Arshad has defended the state’s findings, maintaining that the samples were tested by an NABL-accredited and ISO-certified third-party laboratory.

Questioning the oil companies’ response, Arshad asked whether ordinary vehicles, particularly two-wheelers used by middle-class and working-class families, were compatible with E20 and E30 fuel.

He also accused the BJP and its ecosystem of attempting to discredit agencies that raise questions about the Central Government.

“We are a Government of people. We will keep asking questions,” he said.

Arshad has further demanded consumer access to different fuel options, including E10, E20 and E30, so that motorists can choose fuel compatible with their vehicles.

IOCL, BPCL and HPCL Reject Allegations

The three oil marketing companies have rejected Karnataka’s allegations, maintaining that petrol supplied through their networks conforms to IS 17021, the Bureau of Indian Standards specification for ethanol-blended motor gasoline.

The OMCs cited a nationwide exercise involving 893 samples collected across 27 states and Union Territories. According to the companies, all samples were within the prescribed 19–21% ethanol range.

Of the 56 samples tested in Karnataka, the companies reported ethanol content between 19% and 20%, averaging 19.30%.

The OMCs have questioned Karnataka’s sampling and testing methodology and sought joint sampling and independent verification.

Consumer Protection at the Centre of the Dispute

The controversy has brought fuel quality, vehicle compatibility and consumer protection into the spotlight.

While India’s E20 programme aims to reduce crude oil imports and strengthen energy security, Karnataka argues that consumers must be protected against alleged excessive blending and potential vehicle damage.

The competing test results have made independent verification crucial. A joint exercise involving the state government, oil companies and an independent laboratory could help establish the actual ethanol content in the disputed samples.

For IOCL, BPCL and HPCL, the issue also raises questions about transparency and consumer confidence in petrol quality.

The central question remains whether consumers are receiving petrol that meets prescribed standards and is suitable for their vehicles.