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US Senate approves new fuel efficiency standards |
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The US Senate approved on Thursday a proposal to raise vehicle fuel economy to an industry-wide standard of 35 miles per gallon by 2020, the first sharp increase in fuel efficiency in more than 30 years.
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2007-06-22
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In a surprise vote, senators approved a proposal that would require an improvement in the average fuel efficiency of the US vehicle fleet from now 25 miles per gallon (mpg) to 35 mpg by 2020, a 4% annual increase. The legislation for the first time would establish a single fuel economy standard applicable not only to cars, but also sport utility vehicles (SUVs), vans and pickups which currently have to meet less stringent requirements. Although fuel efficiency requirements would differ for different classes of vehicles based on weight and size, single manufacturers would have to meet the overall fleetwide average of 35 mpg.
Being part of an energy bill, the approved increase in total fuel economy is the first to pass the Congress since 1975. At present, cars have to meet a target of 27.5 mpg while standards for light trucks have been raised slightly in recent years to 22.2 mpg. It is expected that the new standards could reduce tailpipe emissions by 1 billion tons.
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A compromise that shows momentum
The bill voted by the Senate constitutes, however, a compromise that does not take into account the initial proposal by a Senate committee to increase fuel efficiency by 4% annually after 2020, leaving the final decision to federal regulators. Although the approved compromise still faces hurdles before becoming law, the bipartisan Senate vote reflects the growing momentum to set tougher fuel economy rules, thanks to higher fuel prices and concerns about global warming.
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Auto industry faces rising resistance
The deal comes as a rebuke for US carmakers, who had lobbied against tougher fuel efficiency standards, arguing that these would financially devastate the struggling US car industry. The approval by the Senate is seen as a clear signal from lawmakers to end the era of resistance, with Senator Dianne Feinstein saying: "For 23 years, Detroit has said no, no, no. The time has come to say yes, yes, yes."
Her argument was shared by John Kerry, Senator from Massachusetts, who made clear: "For the first time in a generation we've overcome powerful opposition to make our cars more fuel efficient."
Next steps
The auto industry now turns its attention to the U.S. House of Representatives where the battle over fuel efficiency standards could restart as early as next week. Although the House has yet to act on its own energy legislation, House Speaker Nancy Pelosi has already indicated her support for fuel efficiency standards with several senators working "to ensure that the House matches the Senate's action."
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More information:
Original draft Energy Bill / 17 May 2007 (538 KB)
Senate amendment adopted 21 June 2007
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