Average Fuel Economy Targets Revised

Failure to reach targets is not news for the automobile industry. Around the world, there are various points and occasions where automotive companies and not managed to reach a certain deadline. Similar to that case that recently happened to the milestone set back in 2011.

In a group discussion with major automotive companies and environmental agencies around the world, it was decided that in an effort to make cars more enticing to users, they will make an effort to bring the average miles per gallon to an astonishing 54.2. To get that into perspective, as of the moment, among the most fuel-efficient vehicles on the road include Toyota Prius and Chevrolet Cruze that boast off a classic 41 and 42 mpg respectively.

The Demand

The target to meet the said mileage per gallon was based on the assumption that people will continue to buy small fuel-efficient vehicles as they had been a few years back. Who were to know that the basis of that very assumption was to be shattered?

Customers bought fuel-efficient small cars because, well, they were fuel efficient. But the recent hike in the prices of oil changed the entire focus of the market. As the oil prices swelled, so did the prices of fuel. To match the timing, large trucks and SUVs started coming out with mileages that did not leave much difference between the mpg of a hatchback and that of the Sports Utility.

This shifted demand in the favor of SUVs and trucks that were more fuel-savvy. The result, sales of those segments surged! This bumped the forecast of the automotive elites and called for a revision of the target. Not something that was foreseen at the time of setting a 54.2 mpg milestone.

The Revision

One thing that needs a mention here is what bothered the environmental agencies and the automotive giants. These companies were being accused of not adapting to a more contemporary technology. In response, a collective statement was issued by the agencies clearing that modern tech is not what hindered. In fact, the automobile industry has adopted several modern technologies that have allowed the automobiles to offer a better mileage.

Fuel efficiency numbers are, however, being swayed away from automobiles like the Tesla Model 3. All-electric vehicles are also affecting the sales of fuel-backed cars.

The New Proposition

A new proposition was drafted by the three major environmental protection agencies—California Air Resources Board, National Highway Transportation Safety Administration, and Environmental Protection Agency—in regard to automotive industry. They took several different factors into consideration that helped to draft the new proposition and can help in achieving the more realistic 52.6 mpg target, down from the 54.2. The proposition assessed different costs, challenges, and technologies before coming up with the practical target.

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