Introductory Statement on S. 183
Mr. President, the bill that I introduce today features language that would remove the legal ambiguity that for years has inhibited the Secretary of Transportation from raising fuel economy standards for passenger cars, and the measure…
Mr. President, the bill that I introduce today features language that would remove the legal ambiguity that for years has inhibited the Secretary of Transportation from raising fuel economy standards for passenger cars, and the measure would mandate that a fuel economy standard for passenger cars be set at 40 miles per gallon by model year 2017. By providing authority to increase standards for passenger cars, and requiring a specific fuel economy standard target, this bill would provide consumers with fuel savings at the pump, limit the Nation's dependence on foreign oil, and significantly reduce greenhouse gas emissions.
The bill would remove from the current Corporate Average Fuel Economy (CAFE) statute the requirement that the Secretary of Transportation submit to Congress any proposal to increase or decrease fuel economy standards. This requirement has been deemed unconstitutional by the U.S. Supreme Court. This legal hurdle, coupled with years of Federal funding legislation precluding the Secretary from reviewing CAFE, has prevented increases in fuel economy in the domestic passenger vehicle fleet.
The Secretary recently completed a dramatic reform of the fuel economy standards for the light-truck fleet, and he might have made similar reforms to the passenger fleet but for the statutory ambiguity of the current CAFE statute. I applaud the Secretary for his recent CAFE increases for light trucks, and I commend the administration for its seven light truck CAFE increases in the last six years. But the time has come for the Secretary to increase fuel economy standards for passenger cars as well.
In 2000, the National Academy of Sciences (NAS) issued a report that concluded that the benefits resulting from CAFE since its implementation in 1978 clearly warrant Government intervention to ensure fuel economy levels beyond what may result from market forces alone. The NAS panel found that CAFE has led to marked improvements in reducing greenhouse gas emissions, fuel consumption, and dependence on foreign oil.
Mr. President, the United States imports almost 11 million barrels of crude oil every day, compared with only five million produced here at home. And over two million imported barrels hail from the Persian Gulf region. The terrorist attacks waged on this country on September 11, 2001, and the ongoing turmoil in the Middle East has brought into focus the need to reduce our dependence on all foreign oil. The savings achieved by increasing fuel economy standards for the entire U.S. passenger vehicle fleet is essential if we are to increase our energy independence and national security.
This bill also would require the Secretary of Commerce to create a national registry system that, for the first time, would enable the automobile industry to trade fuel economy credits with other industries that generate greenhouse gas emissions. Participation in the registry would be voluntary, and any entity conducting business in the United States would be eligible to utilize the services of the registry. Therefore, automobile manufacturers would be able to contribute or purchase emissions credits with other industries that generate greenhouse gases in order to achieve compliance with CAFE and emissions standards.
Mr. President, any change to fuel economy standards requires the careful balance of many factors, including national security, consumer preference, domestic employment, as well as the need for powerful and durable vehicles in rural America, including my home State of Alaska. The amendment would provide the Secretary the authority to balance these considerations, and to make the appropriate and necessary fuel economy increases. I urge my colleagues to support this legislation.