Jackson, Wyoming resident Paul Vogelheim recently joined ‘Jesse Watters Primetime’ to discuss reports of issues with Proterra electric buses across America. These reports have sparked an onslaught of opposition to the Biden administration’s proposed fuel economy standards, with critics arguing that they would increase consumer costs and burden U.S. businesses. The Department of Transportation’s National Highway Traffic Safety Administration (NHTSA) received over 62,900 public comments during the comment period, which ended on Monday.
Opposition to the proposed Corporate Average Fuel Economy (CAFE) standards came from various stakeholders, including 26 states and the energy, agriculture, and automotive industries. Will Hupman, the American Petroleum Institute’s (API) vice president of downstream policy, stated that the Biden administration’s proposal restricts Americans’ freedom to choose vehicles that fit their needs and budget. API also argued that the proposed standards would harm consumer choice, raise costs, and create a non-resilient transport sector dependent on electric vehicles.
Another industry group, the American Fuel & Petrochemical Manufacturers, criticized NHTSA for exceeding its legal authority by effectively mandating electric vehicle usage. They argued that the proposed standards were not feasibly achievable by internal combustion engine vehicles and established a de facto electric vehicle mandate.
The proposed CAFE standards require passenger cars and light trucks to improve fuel efficiency by 2% and 4%, respectively, starting in 2027. Pickup trucks and work vans would need to boost fuel efficiency by 10% annually, beginning in 2030. The agency projected that average U.S. fleet fuel economy could reach 58 miles per gallon by 2032. However, automakers would need to more than double fuel efficiency in less than a decade to meet these standards or face substantial penalties.
Major stakeholders, including Ford Motor Company and General Motors, expressed concerns about the proposed regulations. Ford estimated that it could face $1 billion in civil penalties if the proposal is finalized, while General Motors and Stellantis could face even higher penalties.
The Alliance for Automotive Innovation (AAI) warned that companies would pay more than $14 billion in non-compliance penalties under the proposal, leading to increased car prices and decreased sales. They argued that the NHTSA fuel economy standards should align better with the tailpipe emissions rules issued by the Environmental Protection Agency (EPA).
Opposition to the proposed regulations extended to a coalition of 26 states led by West Virginia Attorney General Patrick Morrisey. They argued that the regulations overstepped legal authority, threatened national security, and placed stress on the power grid. The states raised concerns about the ability of the power grid and supply chains to handle the predicted increase in electric vehicles.
The Biden administration has set a goal of ensuring 50% of car purchases are electric by 2030. To incentivize greater electric vehicle purchases, they have pushed aggressive tailpipe emissions regulations and fuel economy standards. However, the opposition to these proposed standards highlights the challenges and concerns surrounding the transition to electric vehicles.
Overall, the proposed fuel economy standards have sparked a heated debate between proponents of electric vehicles and critics who argue that the regulations restrict consumer choice, increase costs, and put pressure on the power grid and supply chains. The Biden administration’s goal of promoting electric vehicle adoption is met with opposition from various stakeholders who raise valid concerns about the feasibility and potential consequences of these regulations.
