Supreme Court declines Ethanol labelling plea, Gives petitioner liberty to approach High Court

The Supreme Court on Monday declined to entertain a petition seeking mandatory disclosure of the ethanol content in petrol sold at fuel stations, while granting the petitioner liberty to pursue the grievance before the appropriate High Court.

A Bench comprising Justices MM Sundresh and Prasanna B Varale was hearing a petition filed by advocate Narendra Kumar Goswami, who sought directions requiring petrol pumps to prominently display the precise percentage of ethanol blended into the fuel being dispensed. He also sought a corresponding disclosure on fuel bills and receipts issued to consumers.

The petitioner contended that consumers are entitled to know the composition of the fuel they purchase, particularly against the backdrop of the country’s increasing reliance on ethanol-blended petrol. During the proceedings, he pointed out that fuel receipts presently do not indicate the ethanol content and argued that consumers should have access to such information before using the fuel in their vehicles.

The plea did not seek to invalidate India’s ethanol-blending policy. Instead, it raised concerns over transparency, consumer choice and the availability of reliable information concerning the suitability of different ethanol blends for vehicles.

The petitioner had also sought the creation of an official, publicly accessible database containing vehicle-specific information on compatibility with different ethanol blends. The proposed database was to be searchable on parameters such as vehicle manufacturer, model, engine type and year of manufacture.

Another significant prayer was for the constitution of an independent expert panel to examine the real-world consequences of E20 fuel across India’s existing vehicle fleet. The proposed committee was to assess issues including fuel efficiency, engine longevity, maintenance expenditure, warranty and insurance implications, besides the environmental consequences of ethanol production and use.

The petition further sought examination of concerns relating to water consumption in ethanol production and possible implications for food security and diversion of agricultural resources towards fuel production.

Seeking greater regulatory transparency, the petitioner had also urged the formulation of a nationwide consumer disclosure protocol for ethanol-blended petrol in consultation with the Central Consumer Protection Authority and the Bureau of Indian Standards.

The plea additionally called for the formulation of a transition mechanism for older and potentially non-compatible vehicles. It proposed that authorities consider continued availability of lower-ethanol petrol wherever such an arrangement was found technically, economically and logistically feasible.

The Attorney General for India opposed the manner in which the petition was being pursued and questioned the basis for seeking to make the Union Government answerable directly to the petitioner. The petitioner, however, maintained that the issue was not confined to his individual circumstances but concerned the wider consumer interest.

The Union’s side also described the litigation as a proxy petition and pointed out that the Supreme Court had previously declined to entertain a similar challenge.

The Bench ultimately chose not to adjudicate the grievances in the present proceedings and permitted the petitioner to approach the concerned High Court for appropriate relief.

The proceedings come amid India’s continued expansion of ethanol-blended petrol as part of its broader energy and fuel policy. The litigation has brought renewed focus on the interface between the government’s ethanol-blending objectives and consumers’ demand for transparency regarding the fuel being supplied to them.

While the Supreme Court has not issued any direction mandating ethanol-content labelling at petrol pumps, the petition has placed questions concerning consumer disclosure, vehicle compatibility and the treatment of legacy vehicles before the judicial forum.

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