Govt mulls stricter corporate average fuel efficiency norms

Earlier this year, the Government of India had come up with a transparent policy for EVs, but it has not yet been implemented. Now, in a bid to get car manufacturers to invest in electric and hybrid vehicle technology, the authorities are considering stricter corporate average fuel economy (CAFE) norms for 2022 or 2023 compared to the ones already set.

Automobile manufacturers in India have managed to meet the 2017 CAFE norms and many of them are already meeting the requirements set for 2022. The move could result in a CAFE norm of 104 g/km instead of 108 g/km.

According to a media report, the government wants 5% of the total automobile industry in India to move to electric or hybrid vehicles. However, the Society of Indian Automobile Manufacturers (SIAM) is skeptical of this as manufacturers will have to drastically change their strategies and divert investments. SIAM also highlighted that the country lacks an EV charging infrastructure and electric cars must have comparable range to internal combustion cars to make them popular with the masses.

Last year, the government had proposed an all-electric car fleet by 2030.

Source: ET Auto