Automakers Won't Ask Congress to Freeze Fuel Economy Standards
Confident of White House support, automakers agreed Feb. 22 to not ask Congress to freeze federal fuel economy standards, giving industry critics their first chance in more than two decades to seek higher requirements. President George W. Bush said during his campaign he thinks federal fuel economy standards are about where they should be. Secretary of Transportation Norm Mineta is now in charge of the agency that will decide if fuel standards for sport-utility vehicles, pickups and minivans should be raised when the current congressional freeze expires this summer. Most environmentalists acknowledge, however, that the industry's decision on Feb. 22 is unlikely to result in sharply higher fuel economy standards. Officially, automakers say they decided not to ask Congress to freeze standards for another year because they will instead push for tax credits to consumers who buy fuel-efficient, high-tech vehicles. With growing concern over global warming, talk of a national energy crisis and consumers upset over high gas prices and home heating bills, automakers also recognize that the political tide is turning against them, especially as regards their most profitable and least fuel-efficient vehicles. In recent weeks, some automakers have admitted privately that it could be political suicide to ask Congress for another freeze that essentially protects the nation's top-selling vehicles from tougher standards, according to a Feb. 23 Detroit Free Press story by Janet L. Fix. Federal fuel economy standards under the Corporate Average Fuel Economy (CAFE) program have been unchanged since 1975. Standards have remained at 27.5 miles per gallon for new passenger cars and 20.7 m.p.g. for light trucks, including pickups, minivans and SUVs.
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