Fueling our Future

By Bob Perciasepe, Acting Administrator

This month EPA took an important next step to ensure that the cars of the future are not only the most fuel efficient, environmentally friendly and cost-effective cars to hit America’s roads – but they’re also the healthiest.

The new tailpipe standards we proposed, which are currently out for public comment, will protect millions of Americans from breathing polluted, potentially harmful air. These standards for tailpipe emissions are called “Tier 3” and include a combination of lowering sulfur content in gasoline and enhancing emission controls in automobiles – a systematic approach that has proven successful in the past as an efficient and cost effective program. That, in turn, will lead to significant public health benefits: Our research indicates that, by 2030, Tier 3 standards would annually prevent up to 2,400 premature deaths, 23,000 cases of respiratory symptoms in children, and 1.8 million sick days home from work or school.

Tier 3 tailpipe emission standards are designed to work in concert with vehicle fuel economy and green house gas standards the Obama Administration finalized last summer. When fully implemented, this comprehensive approach will save thousands of lives and protect the health of millions – all while strengthening our energy security, cutting greenhouse gas emissions, and saving drivers money at the pump.  Reducing our dependence on oil, and foreign oil in particular, is an important part of the all-of-the-above approach to energy President Obama has long championed. So, even as we are increasing the amount of oil produced on our shores annually, we are also working to ensure the cars Americans will be driving are far more fuel efficient.  The fuel economy and greenhouse gas standards finalized last summer will phase in each year and ultimately double the fuel economy of motor vehicles by 2025, cutting oil consumption by 12 billion barrels in the process. Less oil consumed means substantially less greenhouse gas pollution, a leading driver of climate change. It also means fewer dollars spent filling up gas tanks – an estimated 1.7 trillion fewer dollars in total. Much has been made of the small – less than a penny – estimated increase in the cost of gasoline from Tier 3, but when you look at the full program and improved fuel economy and the tremendous savings of using half the gasoline for the same drive, consumers win – big time.

Much like the standards from last summer, the proposed Tier 3 tailpipe emission standards are already seeing widespread support from the auto industry. Clear, national standards allow manufacturers to sell the same vehicles in all 50 states. They also give automakers the market confidence they need to invest in the cleaner, more efficient technologies of the future. That’s why Gloria Berquist, vice president of the Alliance of Automobile Manufacturers, this month called Tier 3 “a positive step forward,” explaining that the industry has wanted a “road map” to simplify regulations nationwide. When coupled with the fuel economy standards, these comprehensive approach fuel and tailpipe standards will provide the clear signal for increased investment and jobs in the automobile industry.

State and local officials support Tier 3 tailpipe standards, too. Stronger emissions standards make it easier for local governments to meet their Clean Air Act responsibilities and ensure residents are able to enjoy the clean, healthier air they expect and deserve.

Cleaner air rarely comes for free, but we often find that costs are dwarfed by the benefits clean air provides. This case is no exception. By 2030, EPA estimates that the monetized health benefits of the proposed Tier 3 tailpipe standards would be somewhere between $8 and $23 billion each year. That’s up to $7 in health benefits for every $1 invested in meeting the new standards. When combined with the thousands of dollars every driver will save at the pump thanks to last summer’s updated fuel economy standards, American drivers will be paying a lot less for gasoline over the next decade.

That is the beauty of the comprehensive approach now made possible by the proposed Tier 3 tailpipe standards: significant air pollution reductions with up to $23 billion in health benefits and modern fuels for modern automobile technology that is creating investment and jobs, doubling fuel economy, cutting gasoline bills in half on average and reducing green house gases.

For more than four years, this administration has worked to ensure the next generation of vehicles will offer all of the choices drivers have today. But those vehicles will also be more technologically advanced than ever before. They will be more efficient and much cheaper to power. And they will leave our communities cleaner and healthier than they have been in decades.

About the author: Bob Perciasepe is acting administrator of the U.S. EPA.

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