REFERENCE FUELS - ECONOMY

News: India begins producing 'reference' fuel, joins select league of nations

 

What's in the news?

       India has joined the league of nations producing 'reference' petrol and diesel, specialized fuels used for testing automobiles.

       The move is part of India's self-reliance strategy and will end the country's reliance on imports.

       Indian Oil Corporation (IOC) has developed these fuels, which have higher specifications, to replace imports and ensure a reliable supply at a lower cost.

 

Reference Fuels:

       Reference fuels (Gasoline and Diesel) are premium, high-value products used for calibration and testing of vehicles by auto OEMs and organisations involved in testing and certification in the automotive field.

       Indian Oil has successfully commenced the production of Reference Gasoline and Diesel Fuels for the first time in India.

       The demand for Reference Fuels in India is currently met by imports from other countries.

 

Types of Reference Fuels:

       Reference Gasoline fuels will be available in E0, E5, E10, E20, E85, and E100 from Flagship Paradip Refinery.

       Reference diesel fuel shall be available in B7 grade from Panipat Refinery.

       The indigenously developed product by Indian Oil meets Automotive Industry Standard (AIS) specifications, substitutes imports and is available at better price with reduced lead time.

       Indian Oil Corporation Limited has established facilities for the production of Reference Gasoline Fuels (E-5, E-10 and E-20) at its Paradip Refinery and Reference Diesel Fuel (B-7) at its Panipat refinery.

 

Need for Reference Fuel:

       Reference fuels are required by automobile manufacturers for developing engines and assessing vehicles’ performance to ensure operability in all global climatic conditions.

       Currently, these reference fuels are being imported by India from select companies in Europe and the US.

 

Significance:

       These fuels are used for calibration and testing of vehicles by automobile manufacturers and testing agencies like ICAT (International Centre for Automotive Technology) and ARAI (Automotive Research Association of India).

       These indigenously developed products will lead to import substitution at better price and a shorter lead time for the vehicle manufacturers.