India, Aug. 5 -- The Society of Indian Automobile Manufacturers (SIAM), in its now withdrawn letter to the Union ministry of petroleum and natural Gas (MoP&NG), raised the issue of possible chloride and water contamination after the rollout of E20 fuel - a blend of 20% ethanol with petrol - across the country this year.

The letter said chloride and moisture were turning up in fuel samples and that the issue, in the industry body's assessment, lay in the supply chain rather than in E20 formulation.

In its clarification withdrawing the letter, SIAM asserted the industry had "always been fully supportive" of the government's E20 initiative and that the steps oil marketing companies (OMCs) and the ministry already have in place "fully meet ...