FACTBOX: McCain pushes measures to lower auto emissions

(Reuters) - Republican presidential candidate John McCain will lay out measures on Monday to support the use of lower-emission vehicles, ranging from tougher fines for auto makers to a $300 million prize for the development of a new car battery.

Here are points the Arizona senator makes in his speech:

CAFE STANDARDS

McCain says some car companies do not follow CAFE (Corporate Average Fuel Economy) fuel efficiency standards because the fines for not complying are too low. McCain believes the fines should be higher and the CAFE standards should contribute to a goal of U.S. energy independence.

ALCOHOL-BASED FUELS

McCain calls for a level playing field for all alcohol-based fuels. Citing Brazil's example, he says car makers should be able to speed up the conversion of gasoline engines to "flex fuel" engines that can use alcohol-based fuel such as ethanol. He promises to meet with car makers in his first month in office or sign an act of Congress if necessary to speed the process.

TAX CREDITS BASED ON EMISSIONS

McCain derides a "hodgepodge" of incentives for buying fuel efficient cars. He proposes a Clean Car Challenge to automakers in which tax incentives will be issued based on a vehicle's emissions. A $5,000 tax credit would go to every buyer of a zero-emission car. For other vehicles, the lower the emissions, the higher the tax credit.

BATTERY PRIZE MONEY

McCain proposes a $300 million prize -- equivalent to about $1 dollar for every American -- for the development of a car battery that exceeds those commercially available now in cost, size, and power.

(Reporting by Jeff Mason)