Obama Unveils New Push for More Efficient Cars, Trucks Published: Friday, 21 May 2010 | 1:14 PM ET Text Size By: ReutersDiggBuzz FacebookTwitter More Share President Barack Obama unveiled a U.S. government push Friday to boost auto fuel economy for model-year 2017 passenger vehicles and beyond, and introduce a truck efficiency target for the first time.
Getty Images President Barack Obama --------------------------------------------------------------------------------
Obama's policy initiative, characterized by leading environmental groups as an especially welcome step in the wake of the Gulf Coast oil spill, also includes new support for electric vehicle development.
Automakers such as General Motors and Japan's Nissan are racing to roll out the first mass-produced electric cars later this year in response to tougher government standards and consumer demand for more fuel efficient vehicles.
"I believe it's possible in next 20 years for vehicles to use half the fuel and produce half the pollution that they do today," Obama said at a White House ceremony.
The Canadian government also planned a similar announcement Friday for trucks. Canada and the United States usually act in tandem on new rules.
Cars and trucks account for more than 60 percent of U.S. oil consumption and more than 25 percent of domestic carbon pollution, environmental statistics show.
RELATED LINKS Current DateTime: 08:10:58 23 May 2010 LinksList Documentid: 37277401 Will Tesla and Toyota Really Charge Up the Electric Car Competition?BP Denies Coverup, Spilled Oil Keeps ComingBlog: Behind the Wheel David Doniger, policy director for the Climate Center at the Natural Resources Defense Council, said tougher standards for cars and the first-ever efficiency goals for trucks will save consumers billions of dollars in fuel costs.
"These are important steps to cut our oil dependence and carbon pollution," Doniger said in a statement.
The new rules will be carried out by transportation and environmental regulators.
The Obama administration in April completed updated fuel regulations for passenger vehicles that will require a 30 percent decrease in carbon emissions and a 42 percent increase in auto fuel efficiency to 35.5 miles per gallon by 2016.
Automakers sought assurances in recent weeks that the Obama administration would seek to extend federal oversight of those standards beyond the 2016 time frame.
Industry believes anything less than a firm government commitment on the subject would open the door to competing state standards that could vary from region to region, complicate product planning and add heavy costs.
On trucking, the administration proposed regulating efficiency for medium and heavy duty trucks for model years 2014-18.
Trucks mainly run on diesel fuel, while cars use refined gasoline.
Freight vehicles produce about 20 percent of greenhouse gases related to transportation, the administration said.
Trucking company executives from manufacturers such as Volvo AB [VOLVY 10.36 0.41 (+4.12%) ] and Navistar International [NAV 53.25 1.35 (+2.6%) ] were on hand for the Obama announcement.
Auto company officials from GM, Ford [F 11.26 0.46 (+4.26%) ], and Toyota
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