U.S. to Require Fuel-Economy Standard by 2016. In addition to first ever nationwide regulation of greenhouse gases, plan would also raise the fuel efficiency target for new vehicles

May 18, 2009 at 4:22 pm

(Source: Wall Street Journal & Politico via Yahoo)

WASHINGTON — The Obama administration plans to order auto makers to increase the overall fuel economy of automobiles sold in the U.S. to 35 miles per gallon by 2016, four years faster than current federal law requires, people familiar with the matter said Monday.

The move is part of a broader overhaul of fuel economy rules aimed at cutting greenhouse-gas emissions.

Image: Fueleconomy.gov

The Obama administration is expected to announce a plan to revamp federal vehicle fuel-efficiency standards to bring them into harmony with the goals of a California greenhouse-gas law. The Environmental Protection Agency and the Department of Transportation will jointly raise fuel-economy standards and reduce greenhouse-gas pollution under the plan.

Separately, auto makers have agreed to drop litigation challenging the legality of state-level curbs on tailpipe emissions of greenhouse gases, people familiar with the matter said.

An announcement of the agreement is expected Tuesday, with representatives of several large auto companies, including General Motors Corp. Chief Executive Fritz Henderson, and the president of United Auto Workers, Ron Gettelfinger, planning to participate, people familiar with the matter said.

The agreement worked out by aides to President Barack Obama represents a partial victory for the auto industry. The industry will be able to operate under a single national standard on fuel economy, rather than multiple regimes at the federal and state levels. Auto makers have long opposed California’s tailpipe emissions program as tantamount to state-level regulation of fuel economy, traditionally a federal responsibility.

But the standards will require huge investments by auto makers to remake their U.S. fleets so that they have roughly the same overall efficiency as vehicles they now sell in Europe, where gasoline is two to three times more expensive as in the U.S. By moving the 35 mpg requirement to 2016 from 2020, the administration is stepping up the pressure on the industry to overhaul its product lineup faster. It typically takes three to four years for auto makers to design and bring a new vehicle to market.

Auto executives are flying into Washington from around the world for the White House announcement.   California Gov. Arnold Schwarzenegger, a Republican, is expected to attend, the sources said.

The CAFE standard was established by Congress in 1975 in response to the Arab Oil embargo.   A 2007 energy law requires auto makers to boost the average fuel economy of their vehicle fleets to at least 35 miles per gallon by 2020, a 40% increase from the roughly 25 mpg standard for the current fleet.  Last summer, the Transportation Department estimated that requiring auto makers to achieve 31.6 mpg by 2015 would cost the industry $46.7 billion, a sum the agency said would make it among the most expensive rule makings in U.S. history.

On Obama’s seventh day in office, he directed his Transportation Department to establish higher fuel-efficiency standards for carmakers’ 2011 model year “so that we use less oil and families have access to cleaner, more-efficient cars and trucks.”

“This rule will be a down payment on a broader and sustained effort to reduce our dependence on foreign oil,” he said. “Going forward, my administration will work on a bipartisan basis in Washington and with industry partners across the country to forge a comprehensive approach that makes our economy stronger and our nation more secure.”

According to two industry officials familiar with the plan, mileage standards would rise slowly at first — from a combined requirement of 27.3 miles per gallon for cars and trucks in 2011 — and faster approaching roughly 35 miles per gallon in 2016. That would give auto makers more time to adjust — and collect credits if they can manage to exceed earlier targets — before the steeper increases kick in.

It is unclear how quickly the EPA and the Transportation Department’s National Highway Traffic Safety Administration will be able to make a formal proposal for curbing emissions and boosting fuel economy. The EPA on Monday was holding a public hearing on its proposal to find that greenhouse gases endanger public health, the first step toward regulating them.

Questions arise about highway-safety nominee’s views on CAFE

April 15, 2009 at 10:34 am

(Source:  Greenwire – New York Times; AutoBlogGreen)

President Obama tapped a longtime crusader against drunken driving to lead the Transportation Department’s highway safety agency, but some environmentalists are concerned about the nominee’s positions on fuel economy standards.  The nomination of a new NHTSA administrator might seem like an event that would elicit little controversy, but when President Obama picked Chuck Hurley to head the National Highway Traffic Safety Administration, the rumbles began. In the White House announcement, Hurley’s work with Mothers Against Drunk Driving (he was CEO since 2005) and automobile safetly was highlighted. Sounds good, right? 
If confirmed, Charles Hurley would become the top official at the National Highway Traffic Safety Administration, the agency that must draft and enforce a wide range of safety measures and craft corporate average fuel economy, or CAFE, standards.

 

Chuck Hurley - Image Courtesy: Dickinson College

Hurley has served as CEO of Mothers Against Drunk Driving since 2005 and has spent more than three decades working on a host of driving safety initiatives. He previously held senior leadership posts at both the National Safety Council and the Insurance Institute for Highway Safety, a nonprofit research group funded by auto insurers.

The insurance institute has been critical of past CAFE proposals and has backed an auto industry argument that a disproportionate focus on increasing fuel mileage would lead to smaller and less safe cars (See a related article on TransportGooru that discussed the latest IIHS crash test results correlating vehicle safety during crashes to the size and fuel effieicency factors of small cars). The group helped lead a successful industry push for CAFE standards that use an attribute-based system that requires cars and trucks to achieve different standards depending on each vehicle’s footprint.

Hurley’s work with the institute during the 1990s was enough to worry Dan Becker, director of the Safe Climate Campaign, which has advocated for fuel economy increases. “It would be awkward to have an administrator of NHTSA who’s spent much of his career attacking fuel economy standards that NHTSA administers,” he told the Wall Street Journal.

With exception of the fuel economy concern, Hurley’s nomination drew near-universal praise from highway safety advocates.  In addition to his extensive work on drunk-driving issues, Hurley has also worked with law enforcement agencies on air bag and seat belt issues, child passenger safety and teen driving initiatives.  “Chuck is a passionate safety advocate whose career has been dedicated to reducing motor vehicle deaths and injuries on the highways,” said Vernon Betkey Jr., chairman of the Governors Highway Safety Association.

See you in court! Group sues Obama administration over weak MPG standards

April 8, 2009 at 12:26 pm

(Source: Autoblog)

When the next step in the road to 35 mpg by 2020 CAFE standards was announced recently, those in the know made it clear that the Obama administration’s upcoming goal of 27.3 mpg by 2011 would not be hard for automakers to meet. In fact, the 2007 average was already 31.3, so the 2011 goal would not require any change in product lineup (more difficult changes are scheduled to come into effect down the line). The 2011 standards were so light, in fact, that the Center for Biological Diversity (CBD) took the National Highway Traffic Safety Administration and Department of Transportation to court last week, saying that the Obama administration’s standards “ignore greenhouse gas emissions and the climate crisis, are illogical, illegal, and very disappointing from a president who has promised to make the United States a leader in the fight against global warming.”
The source article on San Francisco Chronicle notes that some environmental groups have said the new standards are a small step in the right direction, but the Center for Biological Diversity said Thursday they’re actually weaker than the requirements that the Bush administration proposed last year for 2011 vehicles.

“These low standards, which ignore greenhouse gas emissions and the climate crisis, are illogical, illegal, and very disappointing from a president who has promised to make the United States a leader in the fight against global warming,” said Kassie Siegel, who directs the organization’s climate law project.

The group asked the Ninth U.S. Circuit Court of Appeals in San Francisco to declare that the administration violated a federal law requiring that fuel economy standards be set at the maximum feasible level, in light of current technology, economic impact, and the nation’s need to conserve energy. The same court ruled in a similar lawsuit in 2007 that the Bush administration’s fuel standards for light trucks and SUVs for the 2008 through 2011 model years were invalid.

Click here to read the Autoblog article and for the press release from CBD.

Silverlining in the Dark Cloud! Bad economy holds highway deaths to record low

April 6, 2009 at 5:07 pm

(Source: Associated Press via Yahoo! News)

WASHINGTON – U.S. highway deaths in 2008 fell to their lowest level in nearly 50 years, the latest government figures show, as the recession and $4 per gallon gas meant people drove less to save more. Safety experts said record-high seat-belt use, tighter enforcement of drunken driving laws and the work of advocacy groups that encourage safer driving habits contributed to the reduction in deaths.

Preliminary figures released by the government Monday show that 37,313 people died in motor vehicle traffic crashes last year. That’s 9.1 percent lower than the year before, when 41,059 died, and the fewest since 1961, when there were 36,285 deaths.

A different measure, also offering good news, was the fatality rate, the number of deaths per 100 million vehicle miles traveled. It was 1.28 in 2008, the lowest on record. A year earlier it was 1.36.

“The silver lining in a bad economy is that people drive less, and so the number of deaths go down,” said Adrian Lund, president of the Insurance Institute for Highway Safety. “Not only do they drive less but the kinds of driving they do tend to be less risky — there’s less discretionary driving.”

Fatalities fell by more than 14 percent in New England, and by 10 percent or more in many states along the Atlantic seaboard, parts of the Upper Midwest and the West Coast, according to the National Highway Traffic Safety Administration.

“Americans should really be pleased that everyone has stepped up here in order to make driving safer and that people are paying attention to that,” Transportation Secretary Ray LaHood said.

Click here to read the entire AP article.  
For those interested, here is the NHTSA report on estimated fatalities for 2008 (shown below in PDF viewer)  and the report showing 2008 state-by-state seat belt use (click here to download).

USDOT’s National Highway Traffic Safety Administration (NHTSA) releases 2009 Comparison of Insurance Costs

March 12, 2009 at 6:56 pm

(Source: NHTSA)

The website states ” The National Highway Traffic Safety Administration has provided the information in this booklet in compliance with Federal law as an aid to consumers considering the purchase of new vehicles. The booklet compares differences in insurance costs for different makes and models of passenger cars, utility vehicles, light trucks, and vans on the basis of damage susceptibility for the vehicle. However, it does not indicate a vehicle’s relative safety for occupants. ”

Click here to print or download a PDF.    Shown below is the PDF version for viewing: