Update: Title changed from New Fuel Standards Agreed In Congress to attract more attention.
From the New York Times comes word that Speaker Nancy Pelosi has prevailed in a battle over increasing fuel standards and regulation of mileage standards. The opposition was lead by fellow Democrat John Dingell of Michigan.
The agreement will require automobiles and light trucks sold in the United States to average 35 miles per gallon by the year 2020 while allowing the EPA significant control of mileage standards (reflecting recent court decisions) and allowing individual states -- notably California -- to enact more stringent legislation.
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Some compromises were made in order to reach agreement, and some items that had brought a veto threat, notably a large new tax on oil companies, were left out. And although the mileage improvements seem modest to me (they amount to about .6 miles per gallon per year improvement) and will get us by 2020 to the standard that China has today it still seems like a significant agreement.
According to the Times, the agreement is receiving good reviews:
Environmental advocates generally applauded the deal and praised Speaker Pelosi and Harry Reid, the Senate Majority leader, for standing firm in the face of an intense lobbying effort by the auto industry and Mr. Dingell. They said that consumers, the auto companies and the environment would all benefit.
"Speaker Pelosi’s fierce commitment to this goal, and application of patience and muscle at critical moments, will lead to the first real increase in fuel economy in nearly twenty years," said Daniel J. Weiss, director of climate policy at the Center for American Progress, a liberal think tank. "Her leadership on better fuel economy will help reinvigorate America’s auto industry."
Unfortunately, the automobile industry has for the last four decades or so seemed hell-bent on self-destruction. Indeed, I'd go so far as to say that we no longer have an automobile industry in this country. We have a cry baby industry. While the big three will probably complain endlessly about the new requirements they should instead thank the Congress for giving them a good kick in the pants -- one which may constitute their last chance to make themselves relevant to the future of transportation.