New Delhi, April 13 -- In a global first, the Centre may introduce an option to buy credits directly from the regulator under the third iteration of corporate average fuel efficiency norms, offering automakers a financial remedy against penalties for failing to meet stricter targets.

The move follows automakers' repeated claims that India's fuel-efficiency norms are among the strictest globally and could threaten the viability of the auto sector.

The draft proposal, reviewed by Mint, introduces a bank passbook-like system in which companies that meet targets earn credits, while those that fall short accumulate debits that attract penalties.

Automakers with debits will be allowed to purchase credits from the Bureau of Energy Efficiency ...