EPA Wants Emissions Cut by 50% Over Five Years

In April 2023 the Environmental Protection Agency proposed much stricter emissions standards than have ever been implemented at the federal level. If approved, these stricter standards would result in a more than 50% reduction in vehicle-caused pollution and most likely cause a dramatic increase in the number of electric vehicles being produced by automakers between 2027 and 2032, the model years the standards would apply to for new car production.

The primary target of the new EPA standards is carbon monoxide emissions. Carbon monoxide, which is a greenhouse gas, is one of the main contributors to climate change and global warming. When released into the atmosphere as it is during gasoline combustion in vehicles, carbon monoxide is released into the atmosphere where it reacts to create to methane and ozone (also greenhouse gases), which are two of the main culprits in human-caused climate change and global warming. Current estimates are that transportation is responsible for more than 25% of all greenhouse gases, which makes it an obvious choice when looking to curb the effects of climate change.

If approved, the new measures would limit the average amount of tailpipe emissions for automakers beginning int 2022, which is not to say that every vehicle would have to reach a certain threshold of compliance. However, in order to meet the standard, the only realistic way for vehicle manufacturers to become compliant would be to drastically increase the number of electric vehicles they produce. According to estimates by the EPA, this would mean that two-thirds of new vehicles produced would have to be electric by 2032. As it currently stands, EVS make up five to eight percent of new car sales.

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Obviously, the prospect of reducing emissions in gas-powered vehicles and increasing production of EVs has some automakers and lawmakers bristling. It would no doubt increase the cost to auto manufacturers, estimated to be around $1,200 per vehicle by 2032, which raises some concerns within the industry. There will no doubt be some legal challenges to the new regulations as many states are already putting up legal battles against existing standards and would be expected to do the same with even stricter regulation. The new standards are also open to public comment before implementation, which along with legal challenges, could somewhat alter the final version of the EPA standards. If there are no significant hurdles, the proposal could become law as early as 2024.

In addition to reducing greenhouse gases and slowing the rate of global warming, there are also other benefits that could be realized because of the new emissions standards. One of those benefits would be improved health outcomes since polluting emissions contribute to several health issues related to cardiovascular and heart problems, as well as asthma. Vehicle owners would likely see a reduction in maintenance and gas costs as well, estimated to be in the neighborhood of $9,000 over an eight-year timeframe. The U.S. economy would experience a drastic savings as part of the new standards with estimates ranging from hundreds of billions of dollars to potentially more than $1 trillion through 2055.