Što je novo u nacrtu CAFE-III normi?

The Indian government on July 17, 2026, unveiled the third draft of the Corporate Average Fuel Efficiency (CAFE)-III norms for passenger vehicles, marking a pivotal step in shaping the country's automotive emissions policy. The proposed regulations aim to incorporate biofuels such as ethanol and compressed biogas into compliance calculations, enabling manufacturers to reduce declared tailpipe carbon dioxide emissions under specific conditions. This update follows a protracted negotiation process spanning nearly a year, during which automakers representing both small and large vehicles clashed over the fairness of the compliance formula. The revised CAFE-III norms retain key elements from the second draft, including a modified weight-adjustment curve designed to lessen the compliance advantage of heavier SUVs while easing the burden on lighter vehicles. The adjustment results in a flatter slope compared to the original September 2025 proposal, with the rate of change in emission targets decreasing gradually over time. Specifically, the draft proposes a slope of 0.00158 in the first year, which reduces to 0.00131 by the fifth year. This modification aims to create a more balanced approach to achieving fleet-wide emission reduction goals. Under the new framework, manufacturers must progressively enhance the fuel efficiency of their vehicle fleets. The target for average fuel consumption tightens from 3.996 litres per 100 km (equivalent to 94.76 gCO₂/km) in the 2027–28 period to 3.327 litres per 100 km (78.90 gCO₂/km) by 2031–32. Compliance assessments will occur in two phases, a three-year initial block followed by a two-year final phase, rather than annually. This structure allows for gradual implementation and adaptation by manufacturers. A notable addition to the draft is the introduction of Carbon Neutrality Factors (CNFs), which permit specified reductions in declared CO₂ emissions for vehicles operating on ethanol, flex-fuel ethanol, compressed biogas, and other biofuels. These factors enable manufacturers to offset some of the emissions associated with using alternative fuels. Additionally, the draft outlines compliance incentives for approved fuel-saving technologies and maintains super credits for electric, plug-in hybrid, strong hybrid, and flex-fuel vehicles. Manufacturers that exceed their emission targets can generate tradable compliance credits, which they may sell to others who fail to meet their obligations. The five-year CAFE-III norms will remain in effect until 2031–32. The draft, available for public comment until August 6, reflects a compromise reached after extensive deliberations between automakers representing different segments of the market. While many aspects of the April 2026 proposal remain intact, certain provisions have been adjusted to address industry concerns. For instance, the draft eliminates a previously proposed relaxation of 3 grams in CO₂ emissions calculations for small cars with engines below 1200 cc, which had exacerbated tensions among manufacturers. Differences between automakers primarily revolved around the 3 g CO₂/km benefit for smaller vehicles. Tata Motors strongly opposed this concession, asserting there was “absolutely no justification” for providing special treatment to small cars, especially given the substantial investments by larger vehicle manufacturers in electrification. In contrast, Maruti Suzuki dismissed these criticisms, stating that “incorrect facts and narratives are being pushed in a very irresponsible manner.” This disagreement underscores the broader challenge of balancing environmental objectives with the diverse interests of the automotive sector.