White House Seeks To Increase Auto Industry Avg To 56MPG
The White House unveiled an ambitious proposal to update the Corporate Average Fuel Economy standards. The new plan would require auto manufacturers to bump the average fuel economy from 34mpg by 2016 and 56.2mpg by 2025.
The new MPG requirement will apply to cars, trucks, and SUVs and represents about a 5% per year of fuel efficiency. Although the new requirement will no doubt be expensive, it will also save the United States 4.7 billion barrels of oil and $705 billion US by year 2030.
Of course, Congress has to approve the bill before it becomes law, which still gives automakers a bit of hope to cling onto. The auto industry rather have a target MPG average of around 44MPG by 2025 which comes to about a 2.5% increase per year in fuel efficiency.
And of course, the environmentalists were hoping for a target of 62MPG by 2025, however, this would make each car about $10,000 more expensive than they currently are, which would probably kill the automotive industry’s growth, because most people would buy used cars at a cheaper price.
Only time will tell whether or not this 56MPG proposal will go into effect, but I am guessing if lawmakers really consider the effects of global warming and take a loot at our current carbon footprint, it is clear that drastic measures need to be taken to preserve the lives of future generations.