The government is taking decisive steps toward bringing blended diesel and commercial liquefied petroleum gas to market, finalizing a set of standards for such fuels to reduce dependence on imports and boost energy security amid rising geopolitical tensions, people familiar with the matter said.
The Bureau of Indian Standards (BIS) is examining inputs from refiners and the transportation industry to finalize specifications for diesel blended with 10% iso-propyl alcohol (IBA), a flammable liquid typically produced from fermented grains. According to the status report reviewed by HT, the standard is expected to be published by June 15, 2026.
Technical teams at India’s standards-setting body BIS are working through consultations with stakeholders before finalizing it, a person familiar with the process said.
Separately, the government is also preparing final standards for dimethyl ether (DME)-blended LPG for commercial use by May 15. A revised benchmark is expected to be notified after consultations, according to people aware of the matter. DME is a gas that can be produced from natural gas, coal and biomass. Officials said blended LPG is being considered only for commercial applications, while domestic LPG cylinders will continue with the conventional fuel mix.
“The contents of domestic LPG cylinders will not remain mixed,” said one person. He said the DME mixture may not be suitable for home cooking use.
The draft standard for IBA-blended diesel was prepared by a working group led by Bharat Petroleum Corp executive Dr Bharat Newalkar and was based on fuel-characteristic studies by major oil marketing companies.
Officials said further sample analysis was later done by the oil companies and Bharat Petroleum Corporation was entrusted with the coordination of the process.
A draft standard is expected to be released for public comments before final notification.
India already has a benchmark for blended LPG covering domestic, commercial and industrial uses, excluding automotive applications, although it has not been implemented.
Officials said the government has now decided to give preference to blended LPG for commercial use, prompting the amendment to the existing standard.
