(Reuters) - The United States finalized rules on Thursday to boost car and truck fuel efficiency standards and reduce greenhouse gas emissions from vehicles. Canada’s government also will implement the measures on its auto industry.
Below are details of the plan from the U.S. government:
* Standards will be phased in starting with the 2012 model year (MY) through 2016 for passenger cars and light trucks.
* Will require vehicles to meet an estimated combined average of 34.1 miles per gallon (mpg) by MY 2016. Including EPA standards, which also enable manufacturers to achieve compliance by improving the air conditioners of their vehicles, improvements could increase the average to 35.5 mpg. The current average is 25 mpg.
* Manufacturers can earn credits by exceeding the standards in a given model year. The credits can be applied to achieve compliance in any of the three model years before or five model years after the year in which they were earned. They also can transfer the credits from the manufacturer’s car fleet to the truck fleet or vice versa; or trade (i.e., sell) them to another manufacturer.
* Total savings will be more than $182 billion, including fuel savings, while the net costs of the standards total approximately $52 billion.
* The average car buyer of a MY 2016 vehicle would save $3,000 over the lifetime of the vehicle. Higher upfront costs for the vehicles emissions technology would be offset by lower fuel expenses.
* Average new vehicle prices are expected to increase from $434 per vehicle in MY 2012 to $950 in 2016. The higher price tag is the result of new technology costs that “will involve considerable monetary outlays” and civil penalties that some companies are expected to pay for noncompliance.
* For cars, cost increases for the MY 2016 will be the steepest for Volkswagen at an average of $1,847 while Toyota cars will experience the lowest cost increase at an average of $380.
* For trucks and SUVs, GM will see the biggest cost increase at average of $1,581 compared to Kia with lowest cost increase at average $247.
* Will reduce carbon dioxide emissions by about 960 million tonnes over the lifetime of the vehicles regulated, equivalent to taking 50 million cars and light trucks off the road in 2030.
* Conserves about 1.8 billion barrels of oil over the lifetime of the vehicles regulated.
(Sources: The Department of Transportation’s National Highway Traffic Safety Administration and the Environmental Protection Agency.)
Compiled by Christopher Doering; Editing by Lisa Shumaker