E85 Fuel Is Cheaper Than Petrol, But Does It Really Save Money? Here’s What a Mileage Test Revealed
E85 Fuel Is Cheaper Than Petrol, But Does It Really Save Money? Here’s What a Mileage Test Revealed
India is gradually increasing the use of ethanol-blended fuels to reduce fuel imports and lower vehicle emissions. As part of this effort, fuel standards for higher ethanol blends such as E22, E25, E27 and E30 have been introduced, and Delhi recently opened the country’s first E85 fuel station. While E85 is priced significantly lower than E20 petrol, a recent mileage test suggests that the lower price does not necessarily translate into lower running costs.
What is E85?
E85 is a flex-fuel blend made up of 85% ethanol and 15% petrol. Only a few flex-fuel vehicles in India are currently compatible with this fuel. These include the Maruti Suzuki WagonR Flex Fuel in the car segment and the Suzuki Gixxer SF 250 Flex Fuel, Hero Splendor+ Flex Fuel and Hero HF Deluxe Flex Fuel among two-wheelers.

Why Does E85 Offer Lower Mileage?
Although E85 is around Rs 20 cheaper per litre than E20 petrol, ethanol contains less energy than petrol. Because of this lower energy density, engines need to burn more fuel to generate the same amount of power, leading to reduced fuel efficiency.
To compare the performance of the two fuels, a Suzuki Gixxer SF 250 Flex Fuel motorcycle was tested using both E20 and E85 under similar riding conditions.
With E20 petrol, the motorcycle covered 124.2 km using 2.44 litres of fuel, delivering a mileage of 50.9 kmpl.
When the same motorcycle was fuelled with E85, it travelled 127 km but consumed 4.37 litres, resulting in a mileage of 29.06 kmpl.
The findings showed that fuel efficiency dropped by nearly 43% when the motorcycle ran on E85.
Running Cost Comparison
Despite being priced at around Rs 82 per litre, compared to Rs 102 per litre for E20, E85 turned out to be more expensive in terms of actual running cost due to its higher fuel consumption.
The test estimated the running cost at:
- E20: Approximately Rs 2 per kilometre
- E85: Approximately Rs 2.82 per kilometre
For a distance of 100 km, fuel expenses were about Rs 200 with E20 and Rs 282 with E85. Over 1,000 km, E85 cost nearly Rs 818 more than E20.
Is E85 a Better Choice?
The results suggest that E20 remains the more economical fuel for riders whose priority is reducing fuel expenses. While E85 supports cleaner mobility and offers environmental benefits because of its higher ethanol content, it does not currently provide lower running costs.
Another factor to consider is the higher price of flex-fuel vehicles. These models generally cost more than their standard petrol versions, adding to the overall ownership cost.
Final Takeaway
E85 may appear attractive because of its lower pump price, but the significant drop in mileage outweighs the savings. The test indicates that, at current fuel prices, E20 is the more cost-effective option for everyday use. Unless E85 becomes considerably cheaper or vehicle efficiency improves, it is unlikely to offer financial savings despite its environmental advantages.



