The Bureau of Energy Efficiency (BEE), on September 25, released the draft Corporate Average Fuel Efficiency (CAFE) 3 norms, proposing weight-based exemptions for small cars and super credits for electric as well as hybrid vehicles. The draft norms have divided India’s ₹22 lakh crore automobile industry with Tata Motors Passenger Vehicles MD & CEO Shailesh Chandra calling the inclusion of weight criterion in the CAFE norms as “arbitrary.” Maruti Suzuki, India's biggest carmaker with significant presence in the small car segment, has backed the exemptions on light-weight cars, stating that such exemptions are given in several other countries. Advertisement

What are CAFE norms?

CAFE norms were first notified by the government in 2017, under the Energy Conservation Act, 2001 to mitigate fu

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