New Delhi

TheCorporate Average Fuel Economy (CAFE-III) norms will provide a clear roadmap for improving fuel efficiency and reducing carbon emissions while offering manufacturers multiple technology pathways for compliance, the automobile industry said.

The government has notified the third phase of CAFE norms for passenger vehicles, setting relatively softer efficiency targets for lighter cars and requiring greater fuel-efficiency improvements from heavier vehicles.

Society of Indian Automobile Manufacturers (SIAM) President Shenu Agarwal said the framework provides clear predictability which will enable the auto industry plan investments and accelerate innovation, thereby, playing an important role in the country's journey towards Viksit Bharat in 2047.

"CAFÉ III regulation lays down a structured road-map with aggressive annual targets for next 5-years for the auto industry along with a market-based compliance mechanism. This will not only ensure reduction of overall fuel consumption from new passenger vehicle fleet but also provide an opportunity to the industry to work on various technology pathways providing multiple choices to the consumers," he stated.

Car market leader Maruti Suzuki India's Senior Executive Officer, Corporate Affairs, Rahul Bharti said the CAFE regulation was a central policy instrument for accelerating India's decarbonisation and energy security journey in the mobility sector.

"It is a comprehensive regulation arrived at after scientific data calculations and detailed stakeholder and inter-ministerial consultation with ambitious targets for energy efficiency improvement and CO2 reduction. The regulation recognizes the contribution of multiple power-train technologies and fuels encouraging multi-faceted R&D and innovation. A credit/debit mechanism is an improvisation over the previous CAFE-II regulation," he added.

Tata Motors Passenger Vehicles MD & CEO Shailesh Chandra said the framework is an important step towards cleaner and more sustainable mobility.