WASHINGTON (Reuters) - The Obama administration is expected to push back the release of the most ambitious proposal ever for automakers to improve the fuel efficiency of passenger cars, sport utility vehicles and pickups.
The Transportation Department and the Environmental Protection Agency intended to put out the draft plan for model years 2017-25 for industry and public comment by the end of this week. But several sources with knowledge of the matter said it would not be rolled out for a month or possibly longer.
Administration officials had no immediate comment.
An agreement reached between automakers, the administration and California in July would require a company's fleet to average 54.5 miles per gallon by 2025, equivalent to a 5 percent increase in annual efficiency.
The deal softens the impact for production of light trucks, like pickups and SUVs -- a mainstay of General Motors, Ford Motor Co. and Chrysler Group LLC.
The administration would -- with a short delay -- remain on track to meet its deadline for issuing final rules next July, five years before they take effect. That timeline gives the auto industry room to plan its vehicle mix and make any production or technology changes.
The National Highway Traffic Safety Administration and the EPA are jointly writing the regulation based on the July agreement with auto companies, environmental interests and the state of California, which has important influence because of its huge market, its political standing with the Democratic administration and its environmental leadership role.
Sources said regulators are purposely moving more slowly than anticipated on details of the formal proposal to ensure it addresses industry, environmental and consumer issues likely to be raised during a lengthy public comment period.
Regulators also want to make sure the proposal can clear the White House budget office, which reviews proposed regulations.
The sources said the delay was not related to a House of Representatives Oversight Committee investigation of meetings between Obama administration and auto industry officials leading up to the July agreement.
Committee Chairman Darrell Issa, a California Republican, has raised concerns about the secrecy of the meetings and the agreement's impact on consumers. He has asked companies to preserve all documents from their discussions with administration officials.
http://www.autonews.com/apps/pbcs.dll/article?AID=/20110927/OEM/309279787/1135http://www.thinkmidway.com/blog/index.htm
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