Wednesday, 15 July 2026 MUMBAI EDITION LIVE

Gadkari Denies Conflict Of Interest In Ethanol Business

Nitin Gadkari rejects allegations, says sons' business is less than 0.5% of India's market.

Mumbai Alert · Politics Desk
Mumbai Alert · Politics Desk
Politics Desk · Mumbai Alert News · Wed, 15 July 2026 at 01:30 pm
Gadkari Denies Conflict Of Interest In Ethanol Business

Union Road Transport and Highways Minister Nitin Gadkari has dismissed allegations of conflict of interest in the government's ethanol blending programme, stating that the claims are politically motivated.

Gadkari said his sons run the family sugar business independently, and he has no role in its operations, pricing, or procurement. He added that ethanol contributes only around 10 percent of their business, while their share in India's total ethanol market is less than 0.5 percent.

The minister also pointed out that the companies have debt of around Rs 1,600 crore, saying claims that his family gained significantly from the ethanol programme are false. Gadkari has been promoting alternative fuels for many years, long before the current government, and noted that the ethanol blending programme began during the Atal Bihari Vajpayee government and was later supported by the UPA government as well.

Gadkari's support is not limited to sugarcane-based ethanol, as he has also encouraged ethanol production from maize, rice, crop stubble, and bamboo. Apart from ethanol, he continues to promote methanol, hydrogen, and electric vehicles as cleaner fuel options.

Responding to concerns over E20 petrol, Gadkari said there is no evidence that it damages vehicle engines. He stated that all E10-compliant vehicles can safely use E20 fuel, and no complaints have been received by his ministry after inviting people to report issues.

Gadkari admitted that E20 may slightly reduce fuel efficiency during high-speed highway driving because ethanol has lower energy content than petrol. However, he said the difference is very small in normal city traffic.

The minister also said that people who do not want ethanol-blended petrol can choose 100 percent petrol, but it would cost more. He added that the petroleum ministry will decide whether different blending options should be offered at fuel stations.

On highway construction, Gadkari said the government follows a zero-tolerance policy on poor-quality work. He stated that nearly 950 highway projects have been reviewed, and strict action has been ordered wherever quality standards were compromised.

The ethanol blending programme is part of the government's efforts to reduce dependence on fossil fuels and promote cleaner energy sources. The programme has been in place for several years and has undergone changes over time.

Gadkari's defense of the programme and his family's business comes amid allegations of conflict of interest and criticism from opposition parties. The minister's statement is an attempt to clarify the situation and provide more information about the programme and its benefits.

In the context of India's energy landscape, the promotion of alternative fuels is crucial for reducing the country's reliance on imported fossil fuels. The government has set targets for increasing the use of ethanol and other alternative fuels in the coming years.

The controversy surrounding Gadkari's family business and the ethanol blending programme highlights the need for transparency and accountability in government decision-making. As the country moves forward with its energy policy, it is essential to ensure that the interests of all stakeholders are taken into account.

In conclusion, Gadkari's statement is an attempt to address concerns and provide more information about the ethanol blending programme. The programme is part of the government's efforts to promote cleaner energy sources and reduce dependence on fossil fuels. As India continues to develop its energy policy, it is crucial to ensure that the interests of all stakeholders are taken into account, and that transparency and accountability are maintained.

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