Ecology Center

Federal fuel economy agreement protects jobs, environment

Dingell, Pelosi break logjam, craft forward-looking energy pact

December 5, 2007

Leading Michigan environmental groups today applauded U.S. House Energy and Commerce Committee Chairman John Dingell for crafting a landmark agreement to increase automotive fuel economy by 40 percent as part of a national energy bill.

The measure, passed by the House this afternoon, makes significant progress on global warming pollution reduction, takes a major step forward for energy security, and includes key provisions to stimulate and protect jobs in Michigan's automotive and manufacturing sectors.

"The Dingell-Pelosi fuel economy agreement ensures that the next generation of vehicles will be built in Michigan, the state that put the nation on wheels and which is now poised to lead the automotive sector into a new era," said Charles Griffith, clean car director for the Ecology Center.

Lana Pollack, president of the Michigan Environmental Council, said the achievement was a triumph of policy and of politics.

"We're satisfied that this agreement will bring substantial environmental benefits while protecting Michigan's automotive industry," said Pollack. "Pulling it off was a massive political challenge. We're fortunate that John Dingell's respect for conservation and environmental stewardship is as strong as his loyalty to Michigan's auto industry. In this case, everyone came out a winner."

That sentiment was echoed across the state today.

"There's a reason John Dingell is called the Lion of the House," said Vicki Levengood, Michigan Representative of the National Environmental Trust. "I can think of no one else with the vision and leadership to craft a fuel economy compromise that won the support of environmentalists, the UAW, and the Big 3 alike. It's time for the Senate to finish the job and send the bill to the President's desk.

In addition to requiring that new cars and trucks average 35 mpg by 2020, the new fuel economy requirements include a provision that helps keep small car production in the U.S., as well extending credits for the production of flex-fuel vehicles.

The pact, part of a national energy bill, also includes encouraging new progress on renewable energy, biofuels, and incentives for energy efficiency.

"This energy bill protects the domestic auto industry and its workforce at the same time that it kicks open the door to new, 21st Century technologies and competitiveness," said Abby Rubley, field director for Environment Michigan. "The goal is prosperity with environmental prudence. Affordable, smart vehicles that don't contribute unduly to global warming. And vehicles that don't require a second mortgage to keep filled with gasoline. This legislation makes that possible."

This federal energy legislation comes on the heels of Gov. Jennifer Granholm joining with other Midwestern governors on an aggressive energy security and climate stewardship platform. Her action helps position Michigan as a player in the transformation of automotive and energy technologies nationwide. These actions are expected to result in economic stimulus, new jobs and inroads on slowing global warming.

If enacted, the 35 mpg requirement should result in fuel savings of up to 1.1 million barrels of oil per day by 2020, with net savings to consumers of $22 billion per year.

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