President Obama Announces National Fuel Economy Policy
DOE Raises Award Ceilings for Smart Grid Projects
EPA Sets Energy Star Specs for Computer Servers
U.S. Wind Industry Marks Strong Q1 Growth
World's Biggest Solar Tower Producing Power in Spain
MIT: Increased Warming Threat if GHG Stay Unchecked
President Obama Announces National Fuel Economy Policy
President Obama announced a national policy on Tuesday that increases fuel economy and reduces greenhouse gas (GHG) emissions of all new cars and trucks sold in the U.S. It includes proposed new fuel economy standards covering model years 2012-2016, achieving an average fuel economy of 35.5 miles per gallon (mpg) for model year 2016. That exceeds the requirements of the Energy Independence and Security Act of 2007, which required an average fuel economy of 35 mpg by model year 2020.
The standards will also reduce CO2 emissions from new vehicles by 30% by 2016. Over the lifetime of these new vehicles, they will save an estimated 1.8 billion barrels of oil and will avoid the emissions of 900 million metric tons of CO2. Cars and light trucks cause 17% of the CO2 emissions in the U.S.
The groundbreaking policy represents an unprecedented collaboration among the U.S. Department of Transportation (DOT), the U.S. Environmental Protection Agency (EPA), 10 of the world's largest auto manufacturers, the United Auto Workers (UAW), leaders in the environmental community, the State of California, and other state governments.
Because the policy combines fuel economy regulations with GHG regulations for vehicles, it addresses the EPA's need to set GHG regulations for vehicles while also addressing California's request to set its own GHG regulations. 13 other states and the District of Columbia had planned to adopt California's GHG regulations. Meanwhile, 10 major car companies and the UAW have embraced the national program because it provides certainty and predictability to 2016 and includes flexibilities that will significantly reduce the cost of compliance.
To put the new policy in place, the EPA and DOT intend to initiate a joint rulemaking for new vehicle standards. The proposed standards are expected to be divided into categories of vehicles, based on size, and are expected to include a variety of measures to allow flexibility in meeting the standards, including credits earned for actions such as implementing advanced air conditioning technologies and using additional technologies that reduce emissions. Such credits would be tradable among the auto manufacturers. See the White House press release and fact sheet, the press release from the Alliance of Automobile Manufacturers, and California Governor Arnold Schwarzenegger's Web page on the new policy.
DOE Raises Award Ceilings for Smart Grid Projects
DOE announced the maximum award available for Smart Grid projects has been significantly increased. DOE announced in mid-April that it intends to provide nearly $4 billion in Recovery Act funds for Smart Grid projects. The funds will include $3.375 billion for the Smart Grid Investment Grant Program, which supports the deployment of Smart Grid technologies and grid monitoring devices, and $615 million for demonstrations of regional Smart Grids, utility-scale energy storage systems, and grid monitoring devices.
Based on feedback received after that announcement, DOE raised the award ceiling for Smart Grid deployments under the Smart Grid Investment Grant Program from $20 million to $200 million, and it raised the award ceiling for regional Smart Grid demonstrations from $40 million to $100 million.
