CAFE

CAFE (Corporate average fuel efficiency)

Why in news?

The government is looking to tighten the corporate average fuel economy (CAFE) norms, in a bid to push automakers to incrementally increase production of electric vehicles by 2-3% every year.

What are the cafe norms?

CAFE is the average fuel efficiency of all vehicles produced by a manufacturer in a given period, taking into consideration the sales volume of each model.
It is achieved by lowering carbon dioxide (CO2) emissions.
Thus, it serves the twin purposes of reducing dependence on oil for fuel and controlling pollution.
The norms are applicable for petrol, diesel, and LPG and CNG passenger vehicles.
CAFE regulations in India came into force from April 1, 2017.

Significance:

A strict CAFE target will provide incentives to auto makers to produce and sell more EVs, to improve their average fuel efficiency.
By tightening the norms, auto makers will have to indirectly invest in EVs, rather than make production of EVs mandatory.
The government has reduced its initial target of getting aggregators to make 40% of their fleet electric by 2026.
Now aggregators are asked to procure EVs as part of their new fleet additions, and this could be in 2% increments (annually).
While CAFE regulations focus on reducing CO2 emissions, BS VI focuses on other harmful exhausts from vehicles.

World environment day:

World Environment Day (WED) was established by the UN General Assembly in 1972 on the first day of the Stockholm Conference on the Human Environment.
In 1974 the first WED was held with the theme “Only One Earth”.
Since then, World Environment Day takes place every year on 5 June.
Since then it is observed on 5th June annually with a country as a host.
The world environment 2019 was observed with the theme “Air pollution” and is being hosted by China.
India hosted World Environment Day 2018 with the theme ‘Plastic Pollution’.
Colombia will host World Environment Day 2020 in partnership with Germany and that it will focus on biodiversity.