Revving Up for CAFE III: India's Next Step in Fuel Efficiency

India's impending Corporate Average Fuel Efficiency (CAFE) standards, aimed at reducing carbon emissions and improving fuel efficiency, require final notification from the government to allow industry preparation. The initiative involves discussions on balancing targets with realistic goals, including incentives for electric vehicles, and has sparked debate among automakers.

India is gearing up for the next phase of its Corporate Average Fuel Efficiency (CAFE) standards with a final government notification expected soon. These new regulations aim to regulate passenger vehicle fuel consumption and emissions between April 2027 and March 2032, according to Toyota Kirloskar Motor's Executive Vice-President Vikram Gulati.

The upcoming CAFE III norms set tighter targets for car manufacturers, offering specific reliefs for small petrol cars while incentivizing electric and hybrid vehicles. However, this has sparked differing viewpoints within the automotive sector, with companies like Tata Motors opposing leniencies for smaller cars.

As discussions continue, the CAFE standards are pivotal in aligning with national energy programs and supporting sustainable fuel alternatives. The aim is to foster an environment where new technological advancements contribute to the country's broader environmental objectives.

(With inputs from agencies.)