Thursday, September 20, 2012

US Fuel Efficiency Standards Surpass Europe

President Obama's new US fuel efficiency standards may catapult America ahead of Europe by lowering vehicular emissions. The burgeoning US electric and hybrid car market will most certainly benefit from Obama's actions. The President first introduced a fuel standard of 35 miles per gallon (mpg) for 2016 and starting in 2025, American cars and light trucks will have to achieve a standard of at least 54.5 mpg.

The International Council on Clean Transportation (ICCT) suggest that the US target surpasses the EU equivalent. A comparison of Europe and the US reveals that the American standard will result in less CO2 than its European counterpart. A 54.5mpg standard would be roughly equal to a 70 grams of CO2 per km (g/km) measurement, the ICCT believes, with air conditioning credits exemptions potentially taking the figure up to a maximum of 83 g/km. The EU has only set a fuel savings target of 95 g/km for 2020, with the promise of a communication about consultations on a future 2025 targets later this year.

For so many decades the US lagged behind Europe in auto emissions, now the President's bold new standard may very well put them on top of the heap of a very competitive marketplace.

However if Republican nominee Mitt Romney wins this year’s presidential election he will likely scrap Obama's fuel standard and replace it with an anemic 5 percent year-on-year fuel savings.

© 2012, Richard Matthews. All rights reserved.

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