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Wednesday, January 18, 2012

New Fuel Economy Rules Win Broad Support

Excerpt from January 18 New York Times article with the above title.

Not everyone is so enthused about the new mileage standards.  See the January 10 post.



New Fuel Economy Rules Win Broad Support

By NICK BUNKLEY

DETROIT — Writing new regulations that will require cars and trucks to have significantly higher fuel economy by 2025 prompted years of fighting among automakers, environmentalists, regulators and consumer groups.

But now that the standards have been proposed, nearly everyone involved in the process is on board with the results, as a public hearing held Tuesday in Detroit showed.

More than 90 people who spoke throughout the day asserted that the stricter fuel economy requirements would create jobs, reduce oil consumption, create cleaner air and save drivers money, all while helping automakers increase their profits.

“We’re celebrating something that has taken a long time to reach,” said Representative John D. Dingell, a Michigan Democrat who helped quash previous efforts to impose higher mileage standards. “There appears to be no significant opposition amongst responsible persons.”

The National Automobile Dealers Association, however, did speak out against the idea of setting requirements for vehicles made more than a decade from now until more is known about the strength of consumer demand for more fuel-efficient vehicles.

Don Chalmers, a Ford dealer in New Mexico and the group’s government relations chairman, said he worried that vehicles would become too expensive for some consumers to afford. “Before rushing headlong into a set of new mandates aimed at doubling today’s fleet fuel economy, we need to understand better the potential ramifications,” Mr. Chalmers said. “If our customers do not purchase these products, we all lose.”

The proposed new standards call for automakers to increase the average, unadjusted fuel-economy rating of their vehicles to 54.5 miles per gallon by 2025, up from about 27 miles per gallon today. Because of the way testing is done, the 2025 requirement correlates to a window-sticker rating of about 36 miles per gallon, according to the automotive information Web site Edmunds.com, or roughly what Toyota’s tiny new Scion iQ car achieves today.

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