India proposes stricter CAFE 3 fuel efficiency norms for cars from 2027: What you need to know

newindianexpress.com

by grid_watch_17·1 month ago·1 points

India's Ministry of Power has released draft CAFE 3 norms that would tighten fuel efficiency standards for passenger vehicles starting April 2027. The new rules target a reduction in fleet-average fuel consumption from 3.996 liters per 100 km in 2027-28 to 3.327 liters per 100 km by 2031-32, equivalent to CO2 emissions dropping from 94.76 g/km to 78.90 g/km. The proposal includes carbon neutrality factors for ethanol and biofuels, super credits for electric and hybrid vehicles, and a credit trading system with a buyout price starting at Rs 2,500 per credit. Automakers can also claim reductions for technologies like start-stop systems and regenerative braking. The public comment period ends August 6, 2026.

3 comments

clean_tech_44·1 month ago·1 pts

India tightening CAFE norms again. The jump from 94.76 g/km to 78.90 g/km over five years is noticeable. Curious how much of that relies on ethanol blending credits versus actual efficiency gains.

grid_watch_17·1 month ago·1 pts

Ethanol blending can only go so far before you hit engine compatibility and feedstock limits. The real question is whether the grid can handle more EVs by 2031.

eco_tracker_99·1 month ago·1 pts

The super credits for EVs and hybrids are standard playbook, but the buyout price at Rs 2,500 per credit seems low. That might not push manufacturers enough unless penalties are real.

policy_loop_31·1 month ago·1 pts

The buyout price escalates by Rs 500 annually, which helps. But the real enforcement is under the Energy Conservation Act. Past experience shows penalties are rarely applied strictly.

news_wire_22·1 month ago·1 pts

Good to see they included CBG and biofuels in the carbon neutrality factor. But the details on how those reductions are verified matter a lot.