Corporate Average Fuel Efficiency (CAFE) Norms:
India has proposed to significantly revamp its key vehicle emissions rules, called the Corporate Average Fuel Efficiency (CAFE) norms, and has introduced a draft of the third iteration of the key standards.
- Corporate Average Fuel Efficiency (CAFE) norms are government-mandated standards that require auto manufacturers to meet a fleet-wide average fuel economy target.
- These are introduced by the Bureau of Energy Efficiency (BEE) in 2017, and aim to regulate fuel consumption and CO₂ emissions from passenger vehicles under 3,500 kg.
- In India, CAFE norms were introduced in two phases, with the first stage effective from 2017-18 and the second from 2022-23.
- These norms apply to vehicles powered by petrol, diesel, LPG, CNG, hybrids, and electric power.
- Objective: CAFE norms were designed to:
- Reduce oil imports
- Cut air pollution
- Promote cleaner vehicles like EVs, CNG cars, and hybrids.