Why in News?
The proposal to relax emission targets for small cars under the upcoming Corporate Average Fuel Efficiency (CAFE)-III norms is still under discussion, according to the Power Ministry Secretary.
What are CAFE Norms?
CAFE (Corporate Average Fuel Efficiency) norms mandate automobile manufacturers to maintain a prescribed average fuel efficiency across their fleet of vehicles sold in a given year.
- Aim to reduce fuel consumption and carbon emissions.
- Encourage adoption of cleaner and more efficient technologies.
- Implemented in phases (CAFE-I, CAFE-II, and upcoming CAFE-III).
Background
- CAFE-I and CAFE-II progressively tightened fuel efficiency standards.
- CAFE-III is expected to introduce stricter emission and fuel efficiency targets in line with India’s climate commitments and energy transition goals.





