The Biden administration unveiled a proposal Friday for new fuel economy standards to be implemented in passenger vehicles, such as cars and light trucks, which is expected to increase the price of gas-powered vehicles.
According to Fox News, the Biden administration claims that its new proposal has the potential to save Americans significant costs at the gas pump by requiring passenger cars to increase fuel efficiency by 2% and light trucks to increase fuel efficiency by 4% starting in 2027. Additionally, vehicles such as work vans and pickup trucks, would be required to increase fuel efficiency by 10% each year, beginning in 2030.
The proposal for new Corporate Average Fuel Economy (CAFE) standards was announced by Biden’s Department of Transportation’s national Highway Traffic Safety Administration (NHTSA).
In a statement Friday, Transportation Secretary Pete Buttigieg said, “Better vehicle fuel efficiency means more money in Americans’ pockets and stronger energy security for the entire nation.”
According to Fox News, DOT and NHTSA have indicated that the new CAFE standards have the potential to save U.S. consumers over $50 billion on fuel and could reduce gasoline consumption through 2050 by roughly 88 billion gallons.
The Biden administration claims that U.S. fleet fuel economy could be increased to 58 miles per gallon by 2032, which would double the fuel economy of vehicles in 2022, according to the Environmental Protection Agency.
NHTSA Acting Administrator Ann Carlson stated, “CAFE standards have driven the auto industry to innovate in improving fuel economy in ways that benefit our nation and all Americans.” The administration claims the new standards would also reduce carbon emissions through 2050 by over 900 million tons.
“The new standards we’re proposing today would advance our energy security, reduce harmful emissions, and save families and business owners money at the pump,” Carlson said. “That’s good news for everyone.”
Friday’s proposal follows the a previous proposal by the Environmental Protection Agency (EPA) to reduce tailpipe emissions, a proposal that is expected to force 67% of new SUV, crossover, sedan, and light truck purchases by consumers to be electric vehicles by 2032, according to Fox News.
In its announcement, the NHTSA claimed the newly proposed rules would serve as a “complement” and would “align” with the EPA’s emissions standards.
“NHTSA will coordinate with the EPA to optimize the effectiveness of its standards while minimizing compliance costs, consistent with applicable statutory factors,” the NHTSA stated on Friday. “With the release of today’s proposal, NHTSA invites comments from all stakeholders on how this goal can be achieved.”