Clean
Car Standards
Trump's
Clean Car Rollback Could Cost Up To $400 Billion, Increase Transport Emissions 10%.
According
to Forbes, “The Trump administration’s push to freeze existing federal fuel economy and greenhouse gas (GHG) emissions standards could deal a major blow to the United States’ economy and climate change goals. If successful, Trump’s clean cars rollback will
cost U.S. consumers up to $400 billion through 2050 and increase transportation emissions up to 10% in 2035, according to new modeling using the Energy Policy Simulator. The Trump administration is also attempting to strip California of its authority to set
its own emissions standards, which 13 states plus Washington D.C. have also adopted, but ongoing and threatened litigation make the economic and emissions outcomes unclear. This unprecedented move would split the nation’s vehicle market, causing regulatory
and financial headaches for automakers. In fact, automakers and workers have broadly opposed the Trump administration’s proposal, which would reduce the competitiveness of American auto manufacturing and threaten up to 500,000 jobs. Most recently, four major
automakers struck a deal on emissions standards with California, recognizing the state’s authority and circumventing the Trump administration’s proposal. And the damage won’t be contained to the U.S. – Canada and other countries who have historically modeled
their vehicle standards on U.S. standards would see their fuel economy similarly stall.” [Forbes,
8/7/19
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By
The Numbers. According
to Politico, “The Trump administration’s rollback of Obama-era fuel economy standards would cost U.S. consumers up to $400 billion through 2050, according to a report today from Energy Innovation, an energy and environmental policy firm. The analysts modeled
a freeze of federal fuel economy and greenhouse gas emissions standards for cars, SUVs and light-duty trucks for model years 2021 through 2026 at 2020 levels. The report found that the Trump administration plan would increase U.S. transportation emissions
10 percent in 2035 — from 1,370 million metric tons of carbon dioxide equivalent to a total 1,510 MMT. It would also increase U.S. gasoline consumption by up to 7.6 billion barrels.” [Politico,
8/7/19
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30
Senators Pressure Carmakers To Join Ford In California Mpg Deal. According
to The Detroit News, “A group of 30 U.S. senators is urging General Motors Co., Fiat Chrysler Automobiles and a dozen other automakers to rebuke the Trump administration’s effort to roll back gas-mileage standards and join an agreement on mpg rules reached
between California and four car manufacturers, including Ford Motor Co. The letter, spearheaded by U.S. Sen. Diane Feinstein, D-Calif., calls on other automakers to ‘join the recent agreement between California and Ford, Honda, Volkswagen and BMW to continue
progress toward producing less-polluting vehicles. ‘As representatives of states that signed the Nation’s Clean Car Promise, we believe that General Motors joining this agreement would save consumers money, reduce emissions, and provide regulatory certainty
to the auto industry,’ the lawmakers wrote in a letter to GM CEO Mary Barra that was released as an example. ‘In the absence of an agreement between the Federal government and states, the California agreement is a commonsense framework that provides flexibility
to the industry to meet tailpipe standards while also taking important steps to reduce greenhouse gas emissions and save money on fuel for consumers,’ the letter continued.” [The Detroit News,
8/6/19
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30
Senators Urge Automakers To Join Calif. Deal. According
to E&E News, “Thirty senators today urged 14 automakers to buck President Trump and join a deal with California to improve fuel efficiency. Led by Sen. Dianne Feinstein (D-Calif.), the lawmakers sent a series of letters asking other car companies to join last
month’s compromise between California and Ford Motor Co., Honda Motor Co. Ltd., Volkswagen AG and BMW of North America. Under the terms of the compromise, the four automakers agreed to increase the fuel efficiency of their cars and light trucks by 3.7% each
year. That stands to significantly undercut Trump’s rollback of Obama-era clean car standards (Greenwire, July 25). ‘We call on you to join the recent agreement between California and Ford, Honda, Volkswagen and BMW of North America to continue progress toward
producing less polluting vehicles,’ the senators wrote in the letters. ‘As representatives of states that signed the Nation’s Clean Car Promise, we believe that ... joining this agreement would save consumers money, reduce emissions and provide regulatory
certainty to the auto industry,’ they added. The letters were sent to General Motors Co., Fiat Chrysler Automobiles NV, Toyota Motor Corp., Hyundai Motor Co., Jaguar, Kia Motors Corp., Aston Martin, Mazda Motor Corp., Mercedes-Benz, Mitsubishi Motors Corp.,
Nissan Motor Co. Ltd., Porsche AG, Subaru and Volvo.” [E&E News, 8/6/19
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Democrats
Press More Automakers To Join California Deal. According
to Politico, “Thirty Senate Democrats today urged 14 major automakers to join the emissions agreement struck last month between California and four manufacturers, including Ford. ‘In the absence of an agreement between the Federal government and states, the
California agreement is a commonsense framework that provides flexibility to the industry to meet tailpipe standards while also taking important steps to reduce greenhouse gas emissions and save money on fuel for consumers,’ the senators wrote in a letter.
The signatories include presidential candidates — Colorado’s Michael Bennet, New York’s Kirsten Gillibrand, California’s Kamala Harris, Minnesota’s Amy Klobuchar, Bernie Sanders (I-Vt.) and Massachusetts’ Elizabeth Warren. Their support is a key indication
that the agreement could survive even if a Democrat defeats President Donald Trump next year. California officials said they would honor the deal regardless of the election’s outcome. Absent from the letter are Michigan Democrats Debbie Stabenow and Gary Peters,
though both were supportive of California’s agreement with automakers. Copies of the letter were sent to Aston Martin, Fiat Chrysler, GM, Hyundai, Jaguar, Kia, Mazda, Mercedes-Benz, Mitsubishi, Nissan, Porsche, Subaru, Toyota and Volvo. In addition to Ford,
the other three companies that joined the initial California deal were Volkswagen, Honda and BMW North America.” [E&E News,
8/6/19
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Auto
Manufacturers
Judges
Doubt Counties’ Bid To Bypass Preemption For VW Emissions Fines. According
to Inside EPA, “Judges on the U.S. Court of Appeals for the 9th Circuit appear to doubt two counties’ case seeking civil penalties from automaker Volkswagen (VW) for its use of ‘defeat device’ software to cheat on federal air emissions standards, pressing
the counties’ hard at Aug. 6 oral arguments on why their claims are not preempted by federal claims. At argument in In re: EPC of Hillsborough County., et al v. Volkswagen Group. of America, et al., Judge Richard Tallman expressed concern that if the court
granted the counties’ claims in this case, it could lead to a ‘ruinous pile-on’ by counties around the country that could sink VW, in the wake of billions of dollars in various penalties and charges already levied against the company for its cheating on nitrogen
oxides (NOx) emissions tests. In addition to money paid to the federal government and California -- much of which has been disbursed to states for mitigation projects and other purposes -- other jurisdictions have sued VW under their consumer protection laws.
In the instant suit, the counties are asking the court to overturn an earlier ruling by the U.S. District Court for the Northern District of California that found their claims are preempted by federal action. The counties claim the ability to impose large
penalties on VW for its updates to software that deactivated emissions controls under real-world driving conditions.” [Inside EPA,
8/6/19
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States
Colorado
Officials Push To Bring More Electric Vehicles To Roads. According
to Summit Daily, “State officials are hoping a new agreement will help to bring more electric vehicles to Colorado’s roads sooner rather than later. The Colorado Department of Transportation — in a collaborative partnership with the Colorado Energy Office,
Alliance of Automobile Manufacturers and Global Automakers — has reached an agreement for a new proposed zero-emission vehicle regulation. In January, Gov. Jared Polis signed an executive order directing state departments to adopt a zero-emission vehicle mandate,
requiring automobile manufacturers to sell a certain number of electric vehicles as a percentage of their overall sales — a system that includes tradable and bankable ‘ZEV credits’ manufacturers must maintain to meet restrictions. The newly proposed agreement,
still awaiting approval from the Air Quality Control Commission, would accelerate the availability of zero-emission vehicle options for Colorado consumers by offering early action credits to automakers to incentivize early sales. ‘Coloradans’ travel needs
are as diverse as our landscape, and it is important that consumers have a broad range of highly energy-efficient options when selecting a vehicle,’ CDOT executive director Shoshana Lew said in a news release. ‘The electric vehicle market is maturing rapidly
as automakers invest in more electrified models, and this agreement will ensure that Coloradans have access to the range of clean car choices that are increasingly available to consumers in other states.’” [Summit Daily,
8/6/19
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Delaware
Officials Want To Make Riding The Bus ‘Sexy’ With New Electric Fleet. According
to WHYY, “In an effort to reduce its greenhouse gas emissions, Delaware will use a $2.6 million federal grant to purchase zero-emission transit buses. This is the third grant — totaling $5.6 million — the state has received from the Federal Transit Administration’s
Low or No Emission Bus and Bus Facilities grant program to buy electric buses. Dover already has six electric buses in its fleet. The state plans to add 20 more of them across the state by early 2021, including eight for New Castle County expected later this
year and two for the beach areas early next year. The state’s Transportation Secretary Jennifer Cohan said the electric buses also will include amenity upgrades, including an automatic wheelchair-securing feature. No longer will passengers who use wheelchairs
have to rely on the bus driver to make sure they stay in place during the ride. Cohan hopes these upgrades will encourage more people to take public transportation, reducing their carbon footprint. ‘We want to make it sexy to ride the bus,’ Cohan said. ‘It
has to be cool, it has to be clean, it has to be convenient. The biggest thing we hear is it has got to have free Wi-Fi, so we’re making all that happen.’” [WHYY,
8/6/19
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CARB
Prods Automakers To Join State GHG Program For MY20 Vehicles. According
to Inside EPA, “California regulators appear to be prodding automakers that have not joined the state’s landmark voluntary deal with four manufacturers to begin formally following the state’s greenhouse gas standards starting in model year 2020, a year earlier
than when the state rules are slated to diverge from EPA’s requirements. In an Aug. 5 letter, the California Air Resources Board (CARB) asks manufacturers of passenger cars, light-duty trucks and medium-duty passenger vehicles whether they intend to comply
with the state’s GHG standards in MY20 -- the last model year when the state’s rules will mirror the federal rules -- by following the state rules explicitly or by using their traditional practice of tracking federal standards and being ‘deemed to comply’
with the state program. CARB outlines the option asking companies to ‘reaffirm or change’ their intended compliance path for MY20 vehicles --EPA’s GHG program or the California GHG program. ‘There have been substantive changes proposed for the National GHG
program and [CARB] has clarified its requirements as a result of these proposed changes,’ the letter states.” [Inside EPA,
8/6/19
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Nissan, EVgo To Build Hundreds Of Fast-Charging Stations.
According to E&E News, “Japan’s leading electric automaker and a major American developer of fast-charging networks announced yesterday that they would build 200 charging stations
in the United States that work especially quickly. The companies plan to offer charges at a power level of 100 kilowatts — twice the juice available at typical EV fast-charging stations near highways today. The joint project of Nissan Motor Co. and EVgo Services
LLC is part of an arms race among charging networks to build more powerful plug points. That power fills the battery quicker and grants a competitive advantage in wooing customers who want the quick in-and-out experience of a gas station. An average home charging
point can fill an empty EV battery in about nine hours, while a 100-kW hookup could mostly fill a battery in less than 30 minutes. The new network is the latest offshoot from a long-standing partnership between Nissan and EVgo. Together they have built thousands
of charging stations in the United States, most recently an electric highway that connects the California coast to Lake Tahoe. Fast charging has become especially important to Nissan this year as it debuted its first long-range EV, the Leaf Plus, with a top
range of 226 miles per charge, to compete with other road-trip-friendly models like the Chevy Bolt and Tesla’s stable of cars.” [E&E News,
8/7/19 (=)]
Fueling Industry Wary Of EPW’s Proposed EV Charging Grant Program.
According to E&E News, “A $1 billion grant program for electric vehicle charging infrastructure tucked into the Senate’s transportation bill has energized greens, but vehicle fueling
stations see it as a direct challenge to their business and have kicked off a campaign against the provision. The competitive grant program included in the bill, S. 2302 (116), would help fund the deployment of charging and fueling infrastructure for electric,
hydrogen, and natural gas vehicles along designated corridors. Charging infrastructure is widely believed to be the linchpin for the broader adoption of electric vehicles, to help assuage consumer worries about being left stranded without a chance to refuel.
The grants are primarily targeted at state and local governments. But for fuel marketing associations, it’s an existential threat. Doug Kantor, a lobbyist at Steptoe & Johnson who represents two fuel marketing associations — the National Association of Convenience
Stores and the Society of Independent Gasoline Marketers of America — said his clients welcome investment in alternative fueling but worry that they won’t be able to compete with publicly subsidized utilities. ‘There are electric utilities around the country
trying to get approval to increase their rates on all of their customers to pay for electric vehicle charging,’ he said.” [E&E News,
8/6/19 (=)]
Chad Ellwood
Research Associate
202.448.2877 ext. 119