CAFE weight relief will hit EVs: M&M, Tata

Maruti says makers of some ‘gas guzzling heavier vehicles’ lobbying against policy support to smaller cars

- DEEPAK PATEL

Two of India’s top four carmakers — Tata Motors Passenger Vehicles (TMPV) and Mahindra & Mahindra (M&M) — have written to Union Power Minister Manohar Lal, saying the proposed special exemption for petrol cars under 909 kg in the upcoming regulation on carbon-dioxide emission would be aset-back to the country’s electric-vehicle (EV) journey.

M&M stated that the draft norms on corporate average fuel efficiency-3 (CAFE-III) would “reverse the current electric vehicle momentum’ in India and result in carmakers “prioritising” strong hybrid cars to meet the emissions target.

TMPV stated the special exemption would make it easier and cheaper for carmakers to keep doing incremental improvements in existing internal combustion engine (ICE) platforms rather than investing in advanced technologies such as battery systems and fuel cells.

Their letters, dated November 21, mentioned that any weight-based carveout would “alter the level playing field” and have adverse effects on the country’s progress towards safer and cleaner cars.

In its letter, TMPV said: “A single OEM (original equipment manufacturer) has a 95 per cent market share in cars below 909 kg. Many of these lighter cars also compete with cars from other OEMs in the same price segment. Specifically, incentivising cars based on weight creates a significant challenge to the level playing field in the passenger vehicle industry.”