Corporate Average Fuel Efficiency (CAFE) Norms
( UPSC Prelims)
News Context
The Bureau of Energy Efficiency (BEE) has updated the draft CAFE-3 and CAFE-4 standards, providing specific relief measures for small cars and offering incentives for flex fuel and strong hybrid vehicles.
About CAFE norms
The Government initially announced CAFE-I in 2017 under the Energy Conservation Act, 2001. The CAFE-3 standards will be effective from 1st April 2027 to 31st March 2032. The objective is to decrease fuel consumption by reducing CO₂ emissions, thereby lessening oil dependency and air pollution. These standards apply to passenger cars with a seating capacity of no more than 9 persons, including the driver, and a gross vehicle weight not exceeding 3,500 kg.
Bureau of Energy Efficiency (BEE)
Legislative Framework: Energy Conservation Act 2001
Objective: Lower the energy intensity of the Indian economy
Other Initiatives: BEE-SME Program aimed at enhancing energy efficiency, National Programme on Energy Efficiency and Technology Upgradation, and the SIDHIEE portal
Reports: State Energy Efficiency Index (SEEI), 2024 (created in collaboration with the Alliance for an Energy Efficient Economy)
▷ Maharashtra, Andhra Pradesh, Assam, and Tripura are leading performers within their respective categories.