India has officially launched E85 fuel with the inauguration of its first dispenser in Delhi, priced at ₹82.12 per litre, making it approximately ₹20 cheaper than regular E20 petrol. While this price difference suggests potential savings, consumers should be aware of the fuel efficiency implications. E85, which consists of 85% ethanol and 15% petrol, typically delivers 20-30% lower fuel efficiency than petrol due to ethanol's lower calorific value. For instance, a motorcycle that achieves 50 kmpl on petrol may only reach 40-42 kmpl on E85. This reduction in mileage does not necessarily mean higher running costs, particularly for daily commuters if the price gap remains significant. However, vehicle compatibility poses a challenge, as only a few models, such as the Hero MotoCorp Flex Fuel motorcycles and Suzuki's Gixxer SF 250, can utilize E85. The Indian government aims to expand E85 infrastructure significantly, targeting 500 dispensing stations by the end of 2026 and nearly 5,000 by 2027, to support this new fuel option.