Government's Latest Measure May Help Save Fuel Worth Rs. 90,000 Crore Every Year

Though this means an increase of 15 per cent over the existing average mileage - manufacturers will still be able to sell cars that deliver less than 18.2Km/l. However, they will also have to sell vehicles that offer higher mileage in order to ensure that the average of all models meets the rule. These standards could translate to saving fuel worth over Rs 90,000 crore every year.

While the Bureau of Energy Efficiency has put together the norms, the Ministry of Road Transport and Highways will iron out the details for the implementation of the guidelines and the penalties for their violation.

Furthermore, the government intends to further increase the average to 22Km/l by April, 2022.