The transport sector in India faces a pressing challenge, contributing approximately 13 percent of the nation's total CO₂ emissions. With a projected increase in the urban population and car ownership, CO₂ emissions from the sector are expected to rise significantly. To combat this, India is transitioning towards cleaner energy sources and promoting the adoption of electric vehicles (EVs) through initiatives like FAME. Moreover, the rise of hydrogen, particularly green hydrogen, is gaining traction as a promising alternative fuel through the National Hydrogen Mission. Biofuels such as ethanol and biodiesel also play a vital role in reducing the carbon footprint of the transport sector. The Ethanol Blending Programme aims to achieve 20 percent ethanol blending by 2025, significantly reducing CO₂ emissions and lessening dependence on petroleum imports. Fuel efficiency standards like the Corporate Average Fuel Economy (CAFE) norms are being implemented to reduce greenhouse gas emissions and encourage the development of alternative fuel technologies. The introduction of stricter CAFE norms sets targets for average fuel consumption and CO₂ emissions, with super credits incentivizing the adoption of low-emission technologies. The proposed CAFE III and IV standards aim to further reduce CO₂ emissions and promote technologies such as hydrogen fuel cells and electric powertrains. However, there is a need for greater acknowledgment of biofuels' potential in reducing emissions to maximize the effectiveness of these standards.