The two significant challenges facing the world are growing pollution issues and fossil fuel depletion. Emissions emanating and consumption of fossil fuels in diesel engines are reduced by modifying engine operating parameters and by developing more efficient alternative fuels. In view of this, the current work evaluates the effect of ZnO nanoparticles mixed with diesel-ethanol blend on the working characteristics of diesel engine at different CR’s and loads. The test fuels selected for the experimental work are pure diesel, DE10, DE10ZnO50 and DE10ZnO100, and the compression ratios are 16.5, 17.5 and 18.5. Using ultrasonic agitation, ZnO nanoparticles were incorporated in fuel blends in the presence of 2% surfactant span80. All fuel blends were tested for their physicochemical properties, and it was noted that the fuel properties improved when ZnO nanoparticles were added to the test blends. The results showed that at CR 18.5, the DE10ZnO100 fuel blend shown maximum improvement in engine working characteristics as compared to other blends. In comparison to diesel at CR 18.5 for DE10ZnO100 blend, BTE enhanced by 5.73% and BSFC was reduced by 8.31%. CO, NOx and UHC emissions are reduced by 21.96%, 6.41% and 12.07%, whereas CO2 emissions have increased by 7.44%, respectively. HIGHLIGHTS Different concentration of ZnO nanoparticles incorporated diesel-ethanol blend is prepared. The effect of ZnO nanoparticles diesel-ethanol blend at various compression ratios of diesel engine was investigated Optimal results are noted for the DE10ZnO100 blend at compression ratio 18.5. Improvements in BTE and BSFC is 5.73% and 8.31% as compared to diesel at CR 18.5 for DE10ZnO100 blend. CO, UHC and NOx reduced by 21.96%, 12.07% and 6.41%.