Serves the Commercial Small Fleet Market of 10 – 50 Vehicles

Automakers May Sue Calif. Over Emissions Reduction Plan

June 15, 2004

California will demand that new cars sold in the state cut emissions from greenhouse gas pollutants by 30 percent by 2014, Reuters reported Tuesday. As a result of that announcement automakers may sue the state, Reuters reported. The California Air Resources Board on Monday issued a draft plan to phase in the reductions in two steps for cars and trucks sold in California from 2009 to 2014. The automakers believe the state's plan would raise vehicle prices by forcing them to boost fuel economy. To cut emissions, automakers must improve fuel efficiency since greenhouse gases such as carbon dioxide cannot be filtered from vehicle exhausts.The Calif. Air Resources Board estimated the average cost for the initial 2009-2011 phase would range from $241 for light duty cars to $326 for big pickups and sport utility vehicles. Average costs for the 2012-2014 model years would range from $539 for light duty cars to $851 for heavier vehicles, the board said.However, a spokesperson for the Alliance of Automobile Manufacturers said the proposal would likely add thousands of dollars to the cost of a new vehicle. The proposal will be open for comment until July 7, and a final draft will be issued early in August, the board said. The board is scheduled to consider the final plan on Sept. 23.
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