The electrocatalytic oxidation of ethanol in alkaline medium has been studied using Ag/Pd bimetallic nanoparticles modified carbon ionic liquid electrode (Ag/PdCILE). The electrochemical characterizations were performed using cyclic voltammetry (CV), chronoamperometry and electrochemical impedance spectroscopy (EIS). The results show that the electrode reveals excellent characteristics such as high catalytic activity, stability, tolerance toward poisoning effects (even at very high ethanol concentrations) and capacity for electrooxidation of ethanol in alkaline medium. The results show that this electrode is very attractive for application in direct ethanol fuel cells. Copyright (C) 2012, Hydrogen Energy Publications, LLC. Published by Elsevier Ltd. All rights reserved.