National News

CAFE-III Norms

October 6 , 2026 12 hrs 0 min 13 0

The Centre has notified the Corporate Average Fuel Efficiency (CAFE)-III norms for passenger vehicles, which will apply from April 1, 2027 to March 31, 2032.
The fuel-efficiency target will become stricter, improving from 3.996 litres per 100 km in 2027–28 to 3.3273 litres per 100 km in 2031–32.
Each Battery Electric Vehicle (BEV) will count as 3 vehicles, while plug-in hybrids, strong hybrids and flex-fuel vehicles will receive additional credits.
The norms provide incentives for hybrids, flex-fuel vehicles, biofuels and fuel-saving technologies such as regenerative braking and tyre-pressure monitoring.
Carbon Neutrality Factors will reduce declared carbon dioxide emissions for vehicles using ethanol-blended petrol, compressed biogas and biofuels.