Yes, its safety when used as a food additive has been approved by the U.S. Food and Drug Administration (FDA), European Food Safety Authority (EFSA), Joint FAO/WHO Expert Committee on Food Additives (JECFA), as well as other authorities.

FDA
It is generally recognized as safe (GRAS) when used in accordance with good manufacturing practice. (6)

EFSA
Caramel colours are colouring substances authorised as food additives in European Union (EU) in accordance with Annex II and Annex III to Regulation (EC) No 1333/2008 on food additives and categorized as “Colours” (7)

Safety revaluation in 2011
After the study on genotoxicity, carcinogenicity, reproductive and developmental toxicity and others, EFSA established a group ADI (acceptable daily intake) of 300 mg/kg body weight/day for four caramel colours (E 150a, E 150b, E 150c, E 150d) and an individual ADI of 100 mg/kg bw/day for E 150c (Class III Ammonia Caramel) due to immunotoxicity of one of its constituent in 2011. (8)

Uses
It is listed in Group II: Food colours authorised at quantum satis. The following food may contain it (9):

Dairy products and analogues  
Edible ices
Fruit and vegetables
Confectionery
Cereals and cereal products
Bakery wares
Meat
Fish and fisheries products
Salts, spices, soups, sauces, salads and protein products
Foods intended for particular nutritional uses
Beverages
Ready-to-eat savouries and snacks
Desserts
Food supplements

http://www.chinafooding.com/Caramel_Color