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Mahindra acknowledges a decline in performance attributed to the use of E20 fuel, coinciding with Gadkari’s statements during his political campaign.

New Delhi: Mahindra & Mahindra Ltd is set to become the first Indian automaker to issue an advisory on the use of E20 ethanol-blended fuel, acknowledging that older vehicles may face reduced performance. The company clarified that while E20 is safe, engines not calibrated for 20% ethanol mixing could see a dip in output.“Mahindra is drafting an advisory on the E20 blended fuel, which should reach customers next week,” Nalinikanth Gollagunta, chief executive officer of the automobile division, said on the sidelines of the Society of Indian Automobile Manufacturers (SIAM) annual convention on Thursday.The company later issued a statement detailing the issue. “Vehicles produced post 1 April 2025 are specially calibrated for E20 fuel to ensure acceleration and fuel efficiency. Earlier produced vehicles, whilst being completely safe to drive, could see a minor variation in either acceleration or fuel efficiency depending on driving behaviour. As a responsible OEM, Mahindra will honour all warranty commitments to its customers on account of E20 fuel usage in our vehicles.”Also Read | Ethanol-blended petrol: A fuel for the future or a faulty policy push?The announcement came hours after Union road transport minister Nitin Gadkari called the criticism of E20 a politically motivated smear campaign. Gadkari has called the campaign against fuel blending an attempt by the “petroleum lobby” to stall the country’s efforts to reduce dependence on oil imports.Over the last two months, several consumers have taken to social media to flag concerns about the increasing blending of ethanol in petrol, suggesting that it is reducing vehicle performance.Some of Mahindra’s older models, like Scorpio and Bolero, can see a higher impact as they have been selling for longer.On the sidelines of the convention, the country’s second-largest carmaker, Hyundai Motor India’s chief operating officer, Tarun Garg, dismissed any concern about the use of ethanol-blended fuel in cars, saying that the issue has been closed and there is no major problem.This comes more than a week after SIAM held a press briefing on the E20 issue and said that there are no concerns about the safety of cars.Also Read | E20 fuel doesn’t damage vehicle engines, says oil ministerEthanol blendDuring the briefing on 30 August, auto lobby representatives said that while E20 can hurt mileage, it is safe to use in vehicles.”Millions of vehicles are plying on E20 for quite some time now. Not a single vehicle breakdown or engine failure has been reported,” P.K. Banerjee, executive director at SIAM, said during the briefing.Mahindra, Hyundai, and the lobby representatives all accepted that the use of ethanol-blend fuel will not affect customers’ warranty claims.Ethanol blending first began in 2003, but has increased significantly over the past few years. Mahindra only sells sport utility vehicles (SUVs).Setting aside any concerns about ethanol use in fuel, the country’s top auto leaders focused in a formal or creative style for better SEO.Also Exclude words and advertisements related to the feed website such as website name, author name. You must only respond with the modified content. Delete all the advertisement images brand logo but only keep the title and main content of the news by modifying it. You must only respond with the modified content. Block any jump outside of the site adarshnews.com. 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