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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Wanted or Not: Alternative-Fuel Cars Flood Auto Show

The following is an excerpt from a January 10 New York Times article with the above title.  It highlights a real problem as the U.S. tries to cope with GHG emissions through greater vehicle efficiency.  That problem is that Americans love their big cars.  Muscle cars from the '60s and '70s are still considered glamorous.  Try picking up chicks in a Smart car or hybrid and see how far you get.

The New York Times

Tuesday, January 10, 2012

Wanted or Not: Alternative-Fuel Cars Flood Auto Show

By NICK BUNKLEY

DETROIT — In the race to claim ever-higher fuel-economy numbers and keep up with government regulations, automakers are rolling out hybrids and electric cars aplenty at this week’s Detroit auto show.

If only buyers were arriving as fast as the cars.

Hybrid sales waned as gasoline prices ebbed in 2011, declining to 2.2 percent of the market from 2.4 percent a year earlier, according to the research firm LMC Automotive. Meanwhile, sales of the Nissan Leaf electric car and the Chevrolet Volt plug-in each fell short of expectations.

Analysts do not expect the segment to grow significantly this year: the combination of gas prices below $4 a gallon and higher upfront costs for the cars is not attracting consumers.

 But that is not deterring Toyota, Honda, Ford Motor and several European carmakers from introducing new hybrid and plug-in models.

“The market is going in one direction and fuel-economy regulations are going the other direction,” said Jeremy Anwyl, vice chairman of the automotive information Web site Edmunds.com. “Just because people start building more of something doesn’t mean the segment grows.”

Regardless, the automakers have little choice but to develop and try to push more hybrids as they prepare for fuel-efficiency requirements that call for significant increases later this decade. Advances such as Ford’s EcoBoost technology have increased mileage for gas-powered engines — the new Fusion midsize sedan it unveiled Monday can get 37 miles to the gallon, Ford said — but bigger gains are needed.

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