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Govt proposes softer CAFE 2027 norms to ease pressure on automobile industry

The updated framework introduces a flatter compliance curve, reducing the earlier advantage for heavier vehicles while allowing slightly higher fuel consumption than previously planned

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Government tweaks emission rules, boosts flexibility for automakers. Representational Image

Government tweaks emission rules, boosts flexibility for automakers. Representational Image

The government has proposed a softer set of Corporate Average Fuel Efficiency (CAFE) norms for the 2027–2032 period, offering relief to the domestic auto industry, NDTV Profit reported. 

According to a revised draft prepared by the Ministry of Power in consultation with the Bureau of Energy Efficiency (BEE), the government has moved away from a rigid target framework in favour of a phased tightening approach. The proposal includes a flatter compliance curve, reducing the advantage previously enjoyed by heavier vehicles.

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