Page 61 - Policy Economic Report -August 2026

POLICY AND ECONOMIC
OIL & GAS MARKET

• A new wave of private investment supported by stronger project viability, stable pricing and
improved access to institutional finance.

• Stronger rural livelihoods through new income opportunities for farmers, feedstock
aggregators, cooperatives and rural entrepreneurs.

• Scientific waste management through productive use of agricultural residue, cattle dung,
municipal organic waste and other biomass resources.

• Lower greenhouse gas emissions through replacement of fossil fuels and productive utilization
of organic waste.

• A larger organic manure economy through greater production, value addition and utilization of
FOM and LFOM.

• Faster and easier project implementation through one national framework, digital governance
and simplified institutional arrangements.

GOBARdhan marks a decisive step in transforming India’s abundant organic resources into clean
energy, rural prosperity and economic value. By bringing assured demand, stable pricing, capital
assistance, pipeline connectivity, credit support and ecosystem development under one national
framework, the Scheme creates the conditions for CBG to grow at scale.

Building on the progress already achieved, GOBARdhan will take India’s CBG journey from a strong
foundation to a nationally scaled clean energy industry. It reflects the Government’s commitment to
energy security, farmers and rural enterprises, waste-to-wealth, Atmanirbhar Bharat and the vision
of Viksit Bharat.

3. Oil Marketing Companies (OMCs) test for Moisture & Chloride presence in E20 Petrol: Claims of 500
ppm Chloride and presence of moisture not validated

Amid recent media reports on moisture and chloride in EBMS (E20 Petrol), OMCs carried out a
nationwide additional intensive testing covering the entire EBMS supply chain. The findings reaffirm
that fuel quality remains consistently well within prescribed limits. Contrary to certain assertions
being made, based on extensive random testing through scientifically designed tests, the evidence
shows that there is no cause for any alarm on account of fuel contamination.

OMCs reassured all the esteemed customers that they treat fuel quality as a matter of highest priority
and any issue that could potentially affect the vehicle performance or consumer confidence is
addressed promptly through scientific investigation and corrective action.

Government of India has prescribed a stringent chloride specification for ethanol used in petrol
blending and has instituted a high-frequency monitoring mechanism to ensure compliance across the
entire supply chain. Chloride monitoring is being done at multiple point of supply chain including
refineries, distilleries, depots/terminals and retail outlets nationwide, confirming that quality is being
consistently maintained throughout the supply chain.

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