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For Immediate Release:
3/29/2006
For More Information:
Diane E. Brown
(602) 252-9227

Bush Administration Fails to Protect Consumers From Rising Gas Prices

By announcing a weak final rule on Corporate Average Fuel Economy (CAFE or miles per gallon) standards for light trucks in model years 2008-2011 today, the Bush Administration has failed to protect consumers from rising prices, according to an analysis of the rule by the Arizona Public Interest Research Group (Arizona PIRG).

The final rule increases overall light truck fuel economy by less than 8% over four years and contains a revised structure that allows automakers to increase the size of vehicles to meet lower standards. For the first time, it regulates SUVs and passenger vans heavier than 8500 pounds, but continues to exempt the heaviest pickup trucks.

“Instead of breaking America’s oil habit, the Bush Administration’s rule installs a mere speed bump on the dead end road of oil addiction,” said Diane E. Brown, Executive Director for the Arizona Public Interest Research Group (Arizona PIRG). “The proposal is a shortsighted attempt that will make an inadequate increase in miles per gallon standards – less than 8% over four years. In fact, it allows for manufacturers to avoid meeting even these weak standards by making their light trucks longer, wider and heavier,” Brown continued.

Last fall, nearly 7,000 citizens submitted comments to the National Highway Traffic and Safety Administration (NHTSA), requesting that the Administration reduce oil demand by increasing fuel economy standards to 40 miles per gallon over the next 10 years, close existing loopholes that encourage more gas-guzzlers and preserve states’ rights to regulate vehicle emissions.

Miles per gallon standards were originally implemented in 1975 in response to the oil embargo to protect consumers from skyrocketing gas prices caused by U.S. dependence on foreign oil. As a result, cars and light trucks were required to increase fuel economy to 27.5 and 20.7 miles per gallon, respectively. This successful oil savings law permitted consumers to go farther on a gallon of gas, and helped reduce the global warming pollution emitted when gasoline is burned in engines.

“Increasing miles per gallon standards to 40 miles per gallon would reduce oil consumption by 20%, save American consumers billions at the gas pumps, and reduce global warming pollution,” said Brown. “With gasoline prices at an all time high of $2.34 a gallon, and with fuel economy at a 23-year low, it is time for the Administration to reduce America’s oil dependence,” Brown concluded.

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