No justification to change CAFE norm: Shailesh Chandra, MD & CEO of TMPV

Economic Times
Economic Times
5h ago 8 views
Tata Motors opposes proposed changes to India's CAFE norms, arguing they lack justification and could compromise safety. The company asserts it can meet existing standards without special concessions.
No justification to change CAFE  norm: Shailesh Chandra, MD & CEO of TMPV
A What happened
Tata Motors has voiced strong opposition to proposed changes in India's corporate average fuel efficiency (CAFE) norms, particularly regarding the definition of small cars. Shailesh Chandra, the MD & CEO, stated that there is 'absolutely no justification' for altering the existing framework or providing concessions to any car category. The company argues that introducing weight as a criterion could undermine safety standards and the industry's progress. Chandra emphasized that the original intent of CAFE norms was to encourage manufacturers to adopt greener technologies without imposing specific targets for individual vehicles. Tata Motors claims it can meet the current CAFE standards without special treatment. The proposed changes, which would give lighter cars an advantage in CO₂ emissions calculations, have been criticized as arbitrary and potentially harmful to safety.

Key insights

  • 1

    Safety Concerns

    Tata Motors warns that lighter vehicles may compromise safety standards.

  • 2

    No Special Treatment

    The company asserts it can meet existing CAFE norms without concessions.

  • 3

    Green Technology Focus

    CAFE norms aim to drive manufacturers towards greener technologies.

Takeaways

Tata Motors firmly believes that the current CAFE norms should remain unchanged to ensure safety and environmental standards are upheld. The company is committed to meeting these standards without requiring special concessions.

Topics

Economy Policy & Regulation