Medium, Heavy-Duty Trucks to Get New Fuel Efficiency Standards by 2016
February 18, 2014 2:41 PM
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President Obama is expected to announce it today
Medium and heavy-duty vehicles are on U.S President Barack Obama's agenda for discussion today in an effort to set
new fuel standards
Obama today announced the tightened fuel standards for vehicles like semis, garbage trucks, buses and three-quarter-ton pickups at a distribution center for the grocery chain Safeway in Upper Marlboro, Maryland.
Obama requested that the Environmental Protection Agency (EPA) and National Highway Traffic Safety Administration (NHTSA) create new fuel-efficiency and greenhouse gas proposals by March 2015 and final standards by March 31, 2016.
The action follows the president's State of the Union Address last month, where he said he planned to set
new fuel standards for trucks
in order to cut costs at the pump and lessen our need for oil and imports.
In 2011, the EPA and NHTSA finalized the first phase of fuel-efficiency standards for medium- and heavy-duty trucks, saying that they must lower reduce fuel consumption between 10 and 20 percent depending on design.
President Obama wants heavy duty vehicles to reduce their fuel consumption. [Source: Getty Images]
More specifically, big rigs and semi trucks were required to achieve a 20 percent reduction, heavy-duty pickup trucks and vans were required to achieve a 15 percent reduction, and delivery trucks, buses and garbage trucks were required to achieve a 10 percent reduction. This affects 2014 to 2018 model years.
Trucks and buses built between these model years are estimated to reduce greenhouse gas pollution by approximately 270 million metric tons.
The 2011 rules are expected to save $50 billion in fuel costs, which is equivalent to 530 billion barrels of oil.
However, auto manufacturers will have to pay up $8.1 billion to build the fuel-efficient vehicles.
In August 2012, the Obama administration also finalized fuel efficiency standards in cars and light trucks by the year 2025. By pushing for 54.5 mpg fuel efficiency, the new
Corporate Average Fuel Economy (CAFE) standards
aim to save consumers more than $1.7 trillion at the gas pump, cut U.S. oil consumption by 12 billion barrels, reduce greenhouse gas emissions by 6 billion metric tons over the course of the program, and encourage the adoption of autos like electric vehicles (EVs) and plug-in hybrids.
The White House
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RE: Only 8.1 Billion?
2/22/2014 11:59:21 AM
It will. To put it more accurately:
Automakers pay $8 billion >> Industry buyers pay $18 billion >> Consumers pay $180 billion.
Afterall, I am not buying a semi to carry my groceries directly from Kenworth.
Just look what the bank bailout has done for consumer loans... net positive for banks = cost increase for consumer... Now we are talking about a net deficiency for vehicle manufacturers.
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