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What a difference two years – and $3 per gallon gasoline – make. In 2005, when gasoline cost an average of $2.27 a gallon, the Senate rejected an increase in vehicle gas mileage standards by a vote of 67-28. Last week, it approved a 10-mile-per-gallon boost by an overwhelming 86-8.
The energy bill, which was supported by the Senate late last Thursday and awaits further action in the House and expected presidential endorsement, marks the first increase in fuel economy standards in more than three decades. It also includes funding for bioenergy research and development, some of which could come to the University of Maine. The bill does not include tax incentives for alternative energy producers and fails to repeal large subsidies to the country’s biggest oil and gas companies. These and a requirement that 15 percent of the country’s energy come from renewable sources were stripped from the bill, making it weaker but still needed legislation.
The required boost in Corporate Average Fuel Economy standards – to 35 miles per gallon by 2020 – will reduce national oil consumption by 1.2 million barrels per day, saving Mainers $140 million in 2020, according to Environment Maine. It also closes a loophole that allows passenger trucks and sport utility vehicles to meet lower standards.
Despite a threatened presidential veto over the issue that has since been resolved, the bill does not forbid the Environmental Protection Agency from using gas mileage standards as a means of controlling carbon dioxide emissions. Automakers had wanted such language to ensure that the EPA did not allow states to issue their own emissions standards. California has applied to the agency for a waiver to enact its own standards, which several states including Maine have adopted but cannot enact without EPA permission. A federal court last week rejected automakers’ claims that the EPA could not approve such standards.
Sens. Olympia Snowe and Susan Collins have long advocated for increased fuel economy and to close the SUV loophole.
“By increasing CAFE standards, our country is not only forming a foundation of energy security, but promoting a critical element in addressing climate change on the federal level,” Sen. Snowe said. “We’ve had the technology to make these advancements, but now we have the political willpower to finally achieve these goals and improve the future of our environment for generations to come.”
Lawmakers still have much work to do on the energy front. They must return their attention to renewable energy standards and tax credits as a means to reduce both energy consumption and business costs. Economic incentives would hasten the development of renewable energy projects and the construction of energy-efficient buildings.
Despite its shortcomings, this energy bill’s raising of fuel economy standards is a long overdue accomplishment.
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