Trade Associations Encourage Exploration of Alternatives to Electric Vehicles

An unexpected alliance composed of 100 petroleum, ethanol, farm, and retail organizations has called on the Biden administration to reevaluate its proposed “tailpipe” rule, which aims to make electric vehicles (EVs) the dominant new car and pickup truck choice by 2032. 

This diverse group raised concerns about the rule’s implications for gasoline- and diesel-powered vehicles. It hinted at the possibility of legal action against what they perceive as a de facto ban.

Diverse Criticism

The informal alliance expressed apprehension regarding what they see as a rigid policy that may not serve consumers’ best interests or promote U.S. energy and economic security. 

In a letter addressed to President Biden, the coalition urged the administration to reconsider the Environmental Protection Agency’s (EPA) proposals. They stressed the importance of embracing various vehicle and fuel technologies to reduce emissions while meeting transportation needs.

EPA’s Proposal and Objectives

The critique centers on the EPA’s April 12 proposal, designed to expedite the transition to cleaner vehicles and address the climate crisis. The proposal involves reducing allowable greenhouse gas emissions levels for new cars and trucks sold between 2027 and 2032. 

The EPA expects this move to incentivize clean fuels and emission-reducing technologies in gasoline-powered vehicles.

Emphasis on a Broader Approach

The alliance implores the EPA to consider a more extensive range of options for greenhouse gas emission reduction in the light- and medium-duty vehicle segment.

This includes exploring renewable liquid fuels and embracing market-based solutions in addition to electric vehicles. The focus is on creating a comprehensive approach that addresses emissions while allowing for flexibility and innovation.

Support from Various Sectors

During a teleconference, the National Corn Growers Association and three biofuel groups—Growth Energy, Clean Fuels Alliance America, and Renewable Fuels Association—asserted the role of agriculture and biofuels in emission reduction efforts. The American Farm Bureau Federation also signed the letter, highlighting support from the farming sector.

Potential Legal Challenges

The U.S. Chamber of Commerce, represented by Dan Beyers, expressed concerns about the proposed regulation pushing the transportation sector too rapidly toward electric vehicles. This approach, they argue, places excessive emphasis on EVs. 

The American Petroleum Institute is contemplating legal action as one of its options, and the American Fuel and Petrochemical Manufacturers will review the final EPA rule before deciding on potential litigation. These discussions underscore the contentious nature of the proposed rule and its far-reaching implications for various industries.

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