Based in Washington and familiar with Democratic Party and energy-issue constituencies, the source told Bloggingstocks that some legislation, albeit minor, was now likely.
"Don't expect miracles, but the public sentiment and Congressional support appears to be there for a modest increase in CAFE [Corporate Average Fuel Economy] standard," he said, speaking on condition that he not be identified by name. He added that to-date the Bush Administration has resisted raising the CAFE; if the administration does so again, it's unclear whether Congress would have the votes to override the veto.
The San Francisco court sided with four environmental groups and 13 cities and states who asked the U.S. Government to explain why it set lower fuel economy standards for light trucks, SUVs and minivans, than it did for cars.
U.S. auto manufacturers have argued that higher standards for trucks/SUVs would force them to discontinue popular models, an argument with some validity in the past, but which is starting to come into question, given generally sagging sales for lower-mpg vehicles in 2007.
Analysts say a primary factor in declining sales is the shift in consumers' psychology: consumers now expect gasoline prices to remain high, and trend higher in the immediate years ahead, and are now seeking higher mpg vehicles to compensate for the higher fuel costs.
Political Analysis: With the courts, and equally significant, consumers, now favoring higher mpg vehicles, look for the Democratic Party-led U.S. Congress to pass higher fuel efficiency standards.Typically, U.S. automakers would have the upper hand on this issue, but there's a sense now from lobbyists in Washington that the higher mpg goal has overwhelming support, and that the lobbying effort will center around stretching-out the implementation time-table, to phase-in costs associated with meeting the higher standards.
Further, Congress' ability to override a possible presidential veto would most likely hinge on the program's cost to automakers, with Congress more-likely to vote to override a veto of a modest-cost proposal.
U.S. auto manufacturers have argued that higher standards for trucks/SUVs would force them to discontinue popular models, an argument with some validity in the past, but which is starting to come into question, given generally sagging sales for lower-mpg vehicles in 2007.
Analysts say a primary factor in declining sales is the shift in consumers' psychology: consumers now expect gasoline prices to remain high, and trend higher in the immediate years ahead, and are now seeking higher mpg vehicles to compensate for the higher fuel costs.
Political Analysis: With the courts, and equally significant, consumers, now favoring higher mpg vehicles, look for the Democratic Party-led U.S. Congress to pass higher fuel efficiency standards.Typically, U.S. automakers would have the upper hand on this issue, but there's a sense now from lobbyists in Washington that the higher mpg goal has overwhelming support, and that the lobbying effort will center around stretching-out the implementation time-table, to phase-in costs associated with meeting the higher standards.
Further, Congress' ability to override a possible presidential veto would most likely hinge on the program's cost to automakers, with Congress more-likely to vote to override a veto of a modest-cost proposal.
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Reader Comments (Page 1 of 1)
11-20-2007 @ 6:13PM
bob said...
It's about time SOMEBODY acts rationally and stops the gluttonous waste on our Highways.
V8 Pig Mobiles - like Navigators and Explorers, as well as "big foot" trucks should be limited in power and phased out. There is no reason to drive a 300 HP vehicle unless towing or for industrial use.
WASTEFUL AFLUENCE is not an American right!
11-21-2007 @ 1:39PM
jpdr1100 said...
Unfortunately Detroit has lost its credibility. They've told us they can't do emissions controls in the 60s, safety features in the 70s, or fuel economy in the 80s. And their business would be destroyed, jobs lost, yada yada, if they are forced.
Yet all this has come to pass, and life goes on. The vehicles are better than they have ever been.
Detroit has some legitimate issues with CAFE pushed too far, but they can no longer be trusted as a source of what is and isn't do-able. They made this bed, and are now being forced to sleep in it.
11-21-2007 @ 6:05PM
A D said...
Is any wonder why congress has a lower approval rating than Bush?
Idiotic fraudulant stuff like CAFE which never has or will save a drop of oil, that's why.
Anybody that supports this nonsense needs to have their head examined. Truth is there's plenty of oil for many more lifetimes but to keep us under their rule, politcians won't let us use it.
Rather than grow the American economy these liars in office are giving away the nation to those that give them the most for their campaigns. No wonder there's so much Japanese and Chinese crap here. They bought off every Democrat and Republican. And the so called intellectuals hide behind the lie of a "global economy" There is no such thing, it is only an excuse for buying crap and removing guilt when the guy down the street loses his job.
11-21-2007 @ 6:07PM
A D said...
Detroit has no credibilty?
And Japan does?
Like the sludge prone Toyotas or tailgates falling off their Tundras?
And what have they invented? Try nothing except the abilty to lie about currency and BS the gullible
11-22-2007 @ 7:40PM
Smoothie said...
I buy the highest horsepower truck I can buy. It is also my right to do so. My first consideration is how fast does it go. If your considerations are how is the fuel mileage and how well does it crash then take the bus doofus!