The Supreme Court on Tuesday heard a petition involving Bharat Petroleum Corporation Ltd. (BPCL) and the Central government over the ethanol allocation process, during which Attorney General R Venkataramani informed the court that the government remains committed to its ambitious plan of achieving 20 per cent ethanol blending in petrol.
Addressing the Bench, the Attorney General described the nationwide blending programme as a "major experiment," adding that its outcomes are expected to become clearer by next year.
Karnataka HC sought reopening of ethanol allocation process
The dispute stems from a Karnataka High Court order directing authorities to reopen the ethanol allocation process for the 2025–26 supply year. BPCL has argued that reopening the allocation could disrupt the implementation of the Centre's nationwide ethanol blending programme.
During the hearing, the Supreme Court questioned why the petitioners had not first approached the Division Bench of the Karnataka High Court.
In response, Venkataramani submitted that ethanol supply contracts for the relevant period had already been concluded in October 2025. He further pointed out that similar disputes are pending before multiple high courts across the country and warned that parallel proceedings could lead to conflicting orders, potentially affecting the implementation of a national policy. He sought the Court's permission to file a transfer petition to consolidate the cases.
Senior advocate Siddharth Dave, appearing in the matter, opposed the request, contending that the proposed transfer petition was merely an attempt to delay the proceedings.
The Attorney General emphasised the urgency of the issue, stating that a decision before October is critical, as fresh ethanol supply contracts are scheduled to be awarded during that period. He argued that requiring parties to first litigate before Division Benches and then pursue proceedings elsewhere would result in significant delays.
SC orders status quo
The Supreme Court issued notice in the matter and directed that the status quo be maintained until the next date of hearing.
Following the hearing, Venkataramani clarified that his submissions before the Court related solely to the quantum of ethanol supply and not to the government's blending policy itself.
He categorically stated that the Centre's decision to achieve 20% ethanol blending in petrol remains unchanged and will continue to be implemented. However, he noted that the volume of ethanol allocated to oil marketing companies would depend on demand and other operational considerations.