Several Asian countries are increasing the use of ethanol-blended fuel as part of efforts to reduce fuel imports and support domestic agriculture, The Hindu BusinessLine reported.
Indonesia, the region’s largest gasoline importer, has postponed its plan to introduce a mandatory 10 per cent ethanol blend in gasoline to 2028. The target was earlier set for 2027 but has been delayed due to limited ethanol supplies, energy ministry official Tri Winarno said.
Under the revised plan, Indonesia aims to produce 0.80 million kilolitres of bioethanol by 2028. The country’s gasoline demand currently stands at 39.9 million kilolitres, according to ministry data.
India has already increased its blending level. The country raised ethanol blending in gasoline to 20 per cent last year, up from 12 per cent in 2023, as part of its strategy to cut crude oil imports and manage surplus sugar production.
In Thailand, the government has extended subsidies on biofuels for two more years until September 24, 2026, to encourage greater use of E20 and other blended fuels. The country’s oil fuel fund supports ethanol produced from sugarcane and cassava, as well as biodiesel made from palm oil. Authorities are gradually moving towards making E20 the standard fuel while phasing out older grades.
Vietnam has said it will fully switch to ethanol-blended gasoline from 2026. From June 1, 2026, all gasoline sold nationwide must contain 10 per cent ethanol to produce E10. However, E5 RON92, which contains 5 per cent ethanol, will continue to be allowed until the end of 2030. While B5 and B10 biodiesels are not yet compulsory, the government is encouraging their production and use.
The Philippines has mandated a 10 per cent ethanol blend in gasoline under its Biofuels Act of 2006, with E10 implemented nationwide since 2012. In 2024, the Department of Energy allowed oil companies to market E20 on a voluntary basis. However, no timeline has been set to make the 20 per cent blend mandatory, as authorities review domestic ethanol supply and vehicle compatibility.Across the region, governments are working to balance fuel security goals with supply challenges as they expand the use of biofuels.
