Ministry of Power Unveils Draft CAFE-III Norms to Shape India's Automotive Landscape

Ministry of Power Unveils Draft CAFE-III Norms to Shape India's Automotive Landscape

Ministry of Power Unveils Draft CAFE-III Norms to Shape India's Automotive Landscape​

The Ministry of Power has officially circulated the Draft Corporate Average Fuel Economy 2027 Norms, referred to as CAFE-III. This regulatory move marks a significant step toward standardizing fuel efficiency for passenger vehicles in India.

The announcement comes as the government seeks to establish clear parameters for the M1 category vehicle segment. The new standards aim to provide a structured framework for manufacturers and importers operating within the country.

Scope of CAFE-III Regulatory Framework​

The proposed norms are specifically designed for M1 category passenger vehicles. This includes all models manufactured or imported for sale in India during a critical multi-year period.

These regulations will apply to vehicles produced between 2027-28 and 2031-32. The extended timeframe provides manufacturers with a clear trajectory to align with evolving fuel efficiency requirements.

Stakeholder Consultation and Feedback Process​

The Ministry of Power has invited stakeholders and the public to provide feedback on the draft CAFE-III norms. This consultative approach ensures that proposed standards are reviewed by industry participants before finalization.

Interested parties can submit their suggestions directly to the Under Secretary, Energy Conservation, at the official office in New Delhi. Alternatively, submissions can be sent via email to the specified department address.

Key Deadlines and Official Publication​

All feedback and suggestions must be received by the Ministry no later than August 6, 2026. This deadline is essential for the review process regarding the Draft Corporate Average Fuel Economy 2027 Norms.

The government intends to upload the draft norms on the official websites of the Ministry of Power and the Bureau of Energy Efficiency shortly. This ensures that all industry participants have transparent access to the proposed regulatory guidelines.
 

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