With Dingell On Board, Dems Reach a Deal to Raise Fuel Economy
by Andrew Posner, Rhode Island, USA on 12. 1.07
Back in July, when the Senate passed a bill that would raise CAFE (Corporate Average Fuel Economy) standards to 35 miles per gallon by 2020 as part of comprehensive energy legislation, we warned not to count your fuel-efficient chickens before they hatch. And sure enough, the bill languished for over two months as Senate leaders negotiated the details. Luckily, with oil hovering around $100 a barrel, even the recalcitrant congressman from Michigan, John D. Dingell, who had previously opposed increasing mileage standards, can see the wisdom of improving fuel economy. So with Dingell on board (pun intended), Congress was able to announce late last night a proposal that would improve overall fleet efficiency by 40% by 2020.
The bill maintains the original 35 MPG goal, but also includes some compromises, such as incentives designed to save an estimated 17,000 U.S. auto jobs, and drops a provision that would have taxed oil companies to the tune of $16 billion a year. The compromises are designed to avoid a potential Bush veto threat as well as placate Detroit. Amazingly, even as they continue to lose market share to more fuel-efficient foreign competition, the Big Three have stuck with the message that the new rules will cost them money in the long run. Meanwhile, Toyota is having their cake and eating it too: on the one hand, branding themselves as a green company with their popular Prius, and on the other, opposing the very legislation that would make Detroit more competitive. That the Big Three view these new rules as a burden, and not an opportunity, is indicative of why they have fallen so far behind in the first place.
Democrats are already hailing the bill as "an historic advancement" that will pave the way for carbon legislation in the coming year. So will this unleash a chain reaction of legislation culminating in some sort of cap on carbon? Maybe, but first lawmakers have to hammer out some other aspects of the bill and then actually pass it. After all, we can expect stiff opposition from the usual suspects, who are afraid that Congress is actually getting serious about climate change and, worst of all, learning how to strike a deal that satisfies everyone involved.
Via ::NY Times
See Also: ::Bush Calls For Higher Fuel Efficiency, ::Large Majority of Americans Support 40 MPG, ::Energy Bill? What Energy Bill?
Dingell is a representative, not a senator.
With mpg credits for making "flex fuel" vehicles and the bill not even being passed yet, I wouldn't call this a victory just yet. Once it's passed, maybe "compromise" will do it justice.
Anyone who actually reads the C.A.F.E. fines for NOT meeting the mpg rating knows that any vehicle with decent profit margin that sales well will be built and sold.
the fines are really low relative to the high profit potential of a high end sports car or SUV.
The problem isn't the car makers, but the consumers. Without demand there would not be supply! Sure, there is creative marketing to make people think the need and want something they really don't, but the reality is that as a consumer you could walk onto to any manufacturers car lot and make a decent choice, or make a really bad choice.
Most minivans get far better mileage than an equivalent passenger/cargo carrying SUV, and are generally far safer as well!
CAFE standards are ridiculous. They don't reduce emissions and they ruin american manufacturers. There are superior alternatives that actually benefit the environment and could help rebuild the north american auto industry.
The new standard is actually pathetic. The auto industry could reach 35 mpg next year if they wanted to. Look around the world and see what some of the standards are. Europe has full electric vehicles for sale RIGHT NOW that use NO gas and NO oil. This country is not a leader any more and it's becoming rather embarrassing.
This really is PATHETIC - NOW TODAY, I drive a 2003 Toyota RAV4 4x4 with a diesel engine that gives me more than 35mpg! Why WAIT until 2020 to produce engines that only give today's fuel economies? A more realistic target would be at least 50mpg.
I agree with nero42 CAFE is stupid.
Since CAFE came into being fuel has stayed relatively cheap and people have just driven more and more. Increasing CAFE will only serve to keep fuel cheaper due to reduced demand and since cars get higher MPG people will keep driving a lot.
Increasing the cost of fuel is what needs to happen. When car travel costs a lot more there will be less of it. Also consumer demand will switch to higher MPG vehicles because of the high cost of fuel.