Automakers in the U.S. got a big break from the National Highway Traffic Safety Administration, as the latter decided to postpone a severe increase in the penalties for non-compliance with average consumption regulations.
Originally, the NHTSA was supposed to raise the penalty from today’s $5.50 to $14 for each 0.1 mpg an automaker fell short of its fuel economy target, multiplied by the number of vehicles made in each model year.
This, Autonews reports, was supposed to take effect from 2015 MY onwards and was announced in a Federal Notice on July 5. Naturally, the automakers protested, since it affected vehicles that were already for sale, and for which there were no standards yet. Now, the agency has pushed back this to the 2019 model year, acknowledging “the reality that manufacturers design their products far in advance” and that, since they had already completed their plans through the 2018 MY, the penalties wouldn’t have any actual impact on fuel economy.
Moreover, it also agreed to the automaker’s request for a formal rule-making process that will dissolve any differences between the CAFE standards mandated by itself and the emission standards that are overseen by the EPA.
Still, now that Donald Trump will become the next President, the manufacturers are pushing for a softening of the 50 mph CAFE target set for 2025 by the Obama administration, which they deem too strict and expensive to meet.
Photo Gallery
