Taking a green initiative, Renault has launched a bio ethanol Megane in UK. It uses a 1.6 16v 105 engine based on the existing 1.6 petrol engine which has been modified to accept bio ethanol. Major upgrades include changes to the fuel tank, injection system and combustion chambers. The new vehicles were developed with input from expertise developed in Brazil, where Renault has been selling flex fuel versions of clio and megane running on bioethanol E100 since 2004. The government has also slapped a new tax incentive which allows 2 percent discount on employees taxable car benefits where the car is capable of running on E85 fuel, an ethanol fuel based on a mix of at least 85 per cent ethanol with conventional petrol.
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