Biden administration reduces emission targets in a win for automakers

The Biden administration has unveiled final rules that aim to make it easier for automakers to continue selling gas-powered models and slow the transition to electric vehicles through 2030. The announcement was made on Wednesday, March 20.

The Environmental Protection Agency (EPA) released a rule that weakens yearly emissions targets through 2030, compared to a stricter plan proposed in April 2023. This move is considered favorable for Detroit automakers and others selling gas-powered models and plug-in hybrid vehicles.

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According to the EPA, the plan will cut fleetwide tailpipe emissions by 50% over 2026 levels and reduce greenhouse gas emissions by 7.2 billion tons through 2055. It is also expected to provide nearly $100 billion of annual net benefits, including $62 billion in reduced annual fuel, maintenance and repair costs.

While some may view the decision as a setback for more aggressive climate change action, the EPA emphasized that automakers would have flexibility in choosing among different technologies to comply with the standards, according to Reuters. EPA Administrator Michael Regan clarified that there is no electric vehicle mandate, and that the industry has multiple options to meet the technology standard.

The final rules reflect reported lobbying efforts by automakers, car dealers, and the United Auto Workers union for more compliance latitude, rather than a rapid transition to an all-electric fleet. Under these rules, the EPA projects that EVs may account for about 30% to 56% of new passenger cars and trucks from 2030 to 2032.

President Biden has prioritized the transition to EVs, citing economic and climate benefits. However, political divisions persist, with former President Donald Trump and others criticizing EVs.

The transition to electric vehicles may be slower than originally proposed, but the new rules are reportedly expected to significantly reduce pollution and improve public health.