In India, amidst debates over emission norms in the auto sector, the Ministry of Road Transport and Highways is likely to introduce incentives for vehicles running on biofuels such as ethanol and flex fuels. The Corporate Average Fuel Efficiency (CAFE) norms are set to be revised in the upcoming CAFE-3 norms, where a lower cap of 91.7 g/km for carbon dioxide emissions is expected, with a focus on biofuels like ethanol, methanol, and flex fuels. This move aims to provide car manufacturers with more options to reduce carbon emissions on Indian roads, especially since the penetration of electric and hybrid vehicles remains low in the country. The proposal also includes a 'biogenic derogation' to give concessions to emissions from biofuels, promoting their use in the automotive industry. The auto industry is discussing the implementation of a 'biogenic factor' in CAFE 3 norms, suggesting that CO2 produced from biofuels should be classified as 'green CO2', potentially reducing the total tailpipe CO2 emissions. Car manufacturers like Hyundai Motor India Ltd. are actively participating in these discussions, showcasing their commitment to sustainable and future-ready mobility solutions. Hyundai has already introduced E20-compliant vehicles and unveiled a flex fuel-powered car, aligning with the government's vision for energy security and reducing oil imports. The shift towards biofuels and flex fuels in India signifies a positive step towards reducing carbon emissions in the auto sector and promoting sustainable mobility solutions. By incentivizing the use of biofuels and considering alternative fuel options, the Indian government is aiming to address concerns regarding emission levels and contribute to a cleaner and greener automotive industry.