If finalized the proposal by the U.S. Environmental Protection Agency (EPA) and the National Highway Traffic Safety Administration (NHTSA) to freeze fuel-economy targets at 2020 levels through 2026 is good news for anyone concerned about consumer choice, vehicle affordability, and highway safety.
Acting EPA Administrator Andrew Wheeler’s determination freezing fuel-economy standards would benefit the American people should surprise no one, because in April EPA announced it would revoke the Obama-era standards requiring cars and light trucks sold in the United States to achieve an average of more than 50 miles per gallon (mpg) by 2025.
{mosads}President Obama signed off on the 50 mpg standards just before leaving office in December 2016, two years before the previous standards were scheduled to be reviewed. Studies show the 50 mpg standard would substantially increase the price of cars, change the composition of the nation’s automobile and light truck fleet, and put lives at risk.
The “Safer Affordable Fuel-Efficient (SAFE) Vehicles Rule for Model Years 2021-2026 Passenger Cars and Light Trucks” is a culmination of EPA’s consultation with NHTSA to determine how fuel-economy standards can best balance consumers’ concerns about automobile affordability, vehicle safety, and fuel economy.
“Our proposal aims to strike the right regulatory balance based on the most recent information and create a 50-state solution that will enable more Americans to afford newer, safer vehicles that pollute less,” Wheeler said.
“There are compelling reasons for a new rulemaking on fuel economy standards for 2021-2026. More realistic standards will promote a healthy economy by bringing newer, safer, cleaner and more fuel-efficient vehicles to U.S. roads and we look forward to receiving input from the public,” stated Transportation Secretary Elaine Chao.
EPA calculates freezing fuel-economy standards at 2020 levels through 2026 will save more than 500 billion dollars in societal costs over the next 50 years and reduce highway fatalities by 12,700 lives.
Fuel standard mandates began in 1975, when Congress established Corporate Average Fuel Economy (CAFE) standards to reduce dependence on foreign oil following the 1973–74 Arab oil embargo. The law required car manufacturers to meet mandated fuel-economy targets or else pay a hefty tax on gas-guzzling sedans. What happened? Some people bought smaller, more fuel-efficient cars. Others, however, started driving trucks, and new categories of vehicles were born: SUVs and minivans.
Over the years, compact cars have become less popular because of low fuel prices, underpowered engines, and lack of passenger and storage space. Most full-sized cars and trucks can seat five adults, and minivans and many SUVs can seat between seven and nine people. Numerous SUVs, trucks, and minivans offer ample cargo space and are capable of hauling a trailer or boat, which no subcompact can do safely.
Ironically, the high popularity of trucks, SUVs, and minivans is at least partially a result of environmentalists’ efforts to reduce the appeal of large, powerful cars. EPA’s stringent fuel-economy standards didn’t apply to trucks, SUVs, or minivans, which didn’t then exist. So, to keep the features they liked, millions of people replaced the family sedan or station wagon with an SUV or truck. As fuel efficiency increased and driving became cheaper, people drove more miles — thereby negating the marginal gains of owning more-fuel-efficient vehicles.
CAFE standards did not reduce America’s dependence on foreign oil — it would take the fracking revolution to do that — but they did have deadly unintended consequences. To meet federal fuel-economy guidelines, carmakers reduced vehicle size, weight, and power. By doing so, manufacturers compromised cars’ safety, resulting in tens of thousands of unnecessary injuries and deaths in vehicle crashes. For every 100 pounds shaved off new cars to meet CAFE standards, between 440 and 780 additional people are killed in auto accidents, amounting to 2,200 to 3,900 lives lost per year, according to researchers at Harvard University and the Brookings Institution. As a result, CAFE has resulted in more deaths than all U.S. soldiers lost in the Vietnam War and every U.S. military engagement since then.
The laws of physics will never change. In a vehicle crash, larger and heavier is safer than lighter and smaller. EPA’s fuel-economy freeze will prevent unnecessary deaths while protecting consumer choice.
If fuel economy is the driving force behind your purchasing decisions, nothing changes under EPA’s decision to freeze current fuel-economy standards. You are free to continue buying the electric, hybrid, or clean diesel vehicle of your choice. If, however, comfort, power, vehicle safety, and the ability to haul a boat or ferry a little league team are your goals, EPA’s CAFE freeze ensures you can continue to make that choice as well.
Ain’t freedom grand!
Sterling Burnett, Ph.D. is a senior fellow on energy and the environment at The Heartland Institute, a nonpartisan, nonprofit research center headquartered in Arlington Heights, Illinois.