California officials said Monday they expect the U.S.
Environmental Protection Agency to act quickly to reverse a Bush
administration decision that blocks the state's tailpipe emissions
law, adding that they believe auto makers have the tools to cut
emissions.
President Barack Obama on Monday ordered the EPA to consider
allowing California to regulate greenhouse-gas emissions from
automobiles, a policy that could spur the development of new
vehicles.
"The president's action is a great victory for California,
around the nation and for generations to come," California Gov.
Arnold Schwarzenegger said during a press conference in Sacramento.
"I'm confident when the EPA completes its review California and
other states can finally move forward" with their vehicle emissions
regulations.
California state Sen. Fran Pavley, who authored the legislation,
said that auto makers already have access to technology to meet the
stringent requirements.
"Auto manufacturers can make these targets with technology" that
is available "off the shelf," Pavley said, speaking at the press
conference.
Pavley added that with 14 states having adopted the emission
limits and four other states "poised" to adopt them, a critical
mass of American consumers will require more fuel-efficient
cars.
In March, the EPA had denied California's request for a waiver
that would have allowed it to proceed with a tailpipe emissions law
established in 2003. Under current law, California may make its own
auto-emissions rules as long as it receives a waiver from the EPA.
Other states may then adopt California's standards or choose the
federal standards.
California officials last week asked the Obama administration to
reverse the decision, over which the state has filed multiple
lawsuits.
California Attorney General Jerry Brown said he thinks the EPA
will act quickly to grant California's waiver.
"They may put some conditions on it, but it means the tough
standards of California will eventually be the rule for more than
40% of the cars sold in America," Brown said.
He noted that California would withdraw its legal complaints
after the waiver is granted.
New York Gov. David Paterson said he "applauded" President
Obama's order.
"Motor vehicles are the largest source of carbon dioxide
emissions in New York and throughout the Northeast, and only by
limiting tailpipe emissions and increasing gas mileage will it be
possible to address the negative impact of motor vehicles on our
environment," Paterson said in a statement.
Vermont, which also has adopted California's standard, won a
federal court case last year brought by auto makers over the
regulations. Vermont Gov. Jim Douglas said he was grateful to see
progress on California's request.
"President Obama has seized an extraordinary opportunity to take
concrete and speedy action on his pledge to address climate
change," Douglas said in a statement.
It was unclear whether auto manufacturers that have sued
California, Vermont and other states over vehicle emissions law
would continue with those actions.
General Motors (GM) said it was "working aggressively" on
"advance technologies...to save energy and reduce emissions," but
the company declined to provide details.
Brown of California said he hoped the Obama administration and
Congress would require U.S. auto makers to abandon the lawsuits as
part of the government's rescue package for Detroit.
"I'm confident that the president and Congress will rein in the
auto companies as part of the bailout," Brown said.
But auto industry allies in Washington warned that the emissions
regulations would exacerbate the auto industry crisis.
"There is no way to know how much money this will cost taxpayers
and workers, but we can be certain that it makes a bad situation
worse," Rep. Mike Rogers, R-Mich., said in a statement.
The government has already committed more than $17 billion in
emergency aid to General Motors Corp. (GM) and Chrysler LLC to keep
the companies afloat.
Rep. Sander Levin, D-Mich., called for a bipartisan effort to
develop national standards on tailpipe emissions and fuel economy.
"This consistency, as well as certainty going forward, is important
as our domestic industry accelerates necessary efforts to
restructure and retool to meet increasing fuel standards," Levin
said in a statement.
The standards are designed to cut greenhouse gas emissions from
cars by 30% by 2016, according to the California Air Resources
Board. Cutting emissions from cars will go a long way toward
cutting overall California and U.S. greenhouse gas emissions, 40%
of which come from cars and trucks, said Linda Adams, California's
environment secretary.
Schwarzenegger said California's emissions standard would have
the equivalent effect of taking 6.5 million cars off the road.
Fourteen states plan to implement California's tailpipe
emissions standard as soon as the waiver is granted. They include
New Jersey, Connecticut, Maine, Maryland, Massachusetts,
Pennsylvania, Rhode Island, Arizona, New Mexico, Oregon, Washington
and the District of Columbia.
By rejecting California's request for a waiver under the Clean
Air Act - the first time the agency has ever refused to grant such
a waiver - the EPA effectively blocked any state from regulating
vehicle greenhouse-gas emissions.
Earlier this year, Democratic senators asked the U.S. Justice
Department to investigate whether former EPA Administrator Stephen
Johnson made false statements to Congress when he testified that
his decision to deny the waiver was made independently. A former
EPA official said Johnson had planned to grant California's waiver,
but changed his mind under pressure from the Bush
administration.
-By Cassandra Sweet, Dow Jones Newswires; 415-439-6468;
cassandra.sweet@dowjones.com
(Siobhan Hughes and Josh Mitchell in Washington contributed to
this story.)
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