India launches reference fuel, to cut import dependency

India on Thursday launched its first reference fuel in collaboration with state-run Indian Oil Corporation (IOC), becoming the third country to do so. The domestic production is likely to reduce India’s import dependency.

“We used to import 1,000 kilolitre (of reference fuel), our consumption is just 150 kilolitre,”said Minister of Petroleum and Natural Gas, Hardeep Singh Puri. “Soon we will look at stopping the import and also becoming a major exporter.”

The reference fuel will be produced by Indian Oil’s Paradip and Panipat refineries. Reference fuels are used for calibration and testing of vehicles by automobile manufacturers and testing agencies.