The Auto Channel
The Largest Independent Automotive Research Resource
The Largest Independent Automotive Research Resource
Official Website of the New Car Buyer

Divergent Opinions Abound Over New Fuel Economy Rules - VIDEO ENHANCED


PHOTO


AUTO CENTRAL - April 3, 2010: Will it be good for consumers and car makers or will it be bad? How will it affect the struggling U.S. car makers? Is this simply another charade at addressing our gasoline problems? These are just a few of the many questions surrounding the new mandated fuel economy rules.

Here's two different responses from the same side (from the dealer perspective):

In response to the new model year 2012-16 automobile and light-truck fuel economy mandates, Ed Tonkin, chairman of the National Automobile Dealers Association (NADA) released the following statement:

"These new rules are the most expensive fuel economy mandates in history. In part, this is a result of three different fuel economy standards set by three different agencies (U.S. Department of Transportation, U.S. Environmental Protection Agency and the California Air Resources Board) under three different sets of rules. This is in direct contradiction to the one national fuel economy standard established by Congress in 2007.

"America's new car and truck dealers support higher fuel economy standards, but recognize that for most Americans a car or truck is a necessity, not a luxury. Under these new mandates, the price of new cars and light trucks will rise significantly, meaning fewer Americans will be able to buy the new vehicles of their choice.

"With tight family budgets and a shaky job outlook, consumers want to maximize their transportation dollars, not pay more for redundant rules and an unnecessary bureaucracy.

"Also troubling, EPA's rule allows for lower standards for some automakers, creating an uneven playing field for some dealers selling makes that are fully regulated. These loopholes will reduce fuel savings, and needlessly distort the fragile auto market, further hurting consumers."

On the other hand...

Adam Lee, President of Lee Auto Malls, which consists of 20 dealerships selling domestic and foreign cars, issued this statement:

"Today is a victory for American consumers and the auto industry. Every day customers walk into my stores asking for the same thing -- cars that go farther on a dollar. For the most part that was not an American car. Now domestic cars will become more competitive. But it cannot stop here. To survive, all automakers must drive fuel economy higher and higher. My customers are already asking, when will we see 50 miles per gallon?"

Then, from The Association of International Automobile Manufacturers (AIAM), its President and CEO, Michael J. Stanton offered this view:

"AIAM welcomes the new regulations on CAFE and greenhouse gas emissions through model year 2016. These goals are ambitious, and will present a challenge for the industry to meet. We have long supported a single, national program that provides clear guidance for AIAM members to meet these important program goals, and these regulations harmonize the efforts of EPA and the Department of Transportation to do just that. We urge EPA and the Department to reach out to all stakeholders, including the State of California, to begin addressing year 2017 and beyond in the same, unified manner."

Meanwhile, Pennsylvania Governor Edward G. Rendell praised Obama and his administration:

"Today's news from the Obama administration is great news for Pennsylvania and the entire nation, because cleaner cars are a big win for consumers, the environment and our national security." The Governor added, "With access to more fuel-efficient vehicles, consumers will have to spend less time and money at the gas pump, which means fewer dollars going to foreign, oil-rich nations that may be hostile to our interests. The less fuel we burn, the cleaner our air will be. That will make our people and our planet much healthier for the long term."

And finally, in a televised news conference, Professor Irwin Corey offered a most insightful analysis (click PLAY on the widow below to watch the news conference):