Finalising CAFE standards: The missing piece in India's green transport puzzle

Last month marked a watershed moment in India's journey towards sustainable transportation.

- AMITABH KANT

Two landmark policy interventions underscored the government's commitment to decarbonise freight movement—one of India's fastest-growing and most emissions-intensive sectors.

First, the Ministry of Heavy Industries rolled out the much-anticipated e-truck scheme under the PM e-DRIVE initiative, allocating ₹500 crore to incentivise the adoption of electric trucks. Second, the Bureau of Energy Efficiency (BEE) issued a draft proposal for revised fuel efficiency norms that, for the first time, include medium- and heavy-duty vehicles (MDVs and HDVs), alongside light-duty vehicles (LDVs). Together, these crucial interventions could reshape India's carbon-intensive freight ecosystem.

India's transportation sector carries a heavy carbon footprint. Responsible for an estimated 300 million tonnes (mt) of CO2 emissions in 2019, the sector ranks as the third-largest contributor to national greenhouse gas (GHG) emissions, trailing only electricity generation and industry. The trajectory is alarming: According to The Energy and Resources Institute, this figure could quadruple to 1,200 mt by 2050 under business-as-usual scenarios. Freight transport, dominated by diesel-powered trucks, accounts for more than 60 per cent of energy use. Targeted policy interventions are both urgent and strategically sound.