In a historic step, major automakers have stood up for California’s legal authority to set tailpipe emissions standards.
Seven automakers filed notable briefs Monday in a federal lawsuit over the future of California standards.they took sides and California and the US EPA (their historical adversaries) and against The oil industry and its allies have argued that California’s right to set its own vehicle pollution standards and the right of other states to adopt California’s standards (both core rights of states protected by the Clean Air Act) is attacking.an incident called Ohio v. EPA, is pending before the U.S. Court of Appeals in Washington.
Companies supporting California include Ford, Volkswagen, BMW, Honda, Volvo, and (through associations) Tesla and Rivian. Participating in these projects are power companies that are building charging infrastructure for electric vehicles. Not a single car company participated in the attack on California.
The automaker’s brief marks a milestone in the transformation of the auto industry over the past 50 years. When I joined his NRDC in the 1970s, auto companies were adamantly opposed to nearly every new California or federal pollution standard. And they consistently tried to unite with oil companies and other polluters to undermine the Clean Air Act.
This is the first time a car company has filed a lawsuit. support California. There are good business reasons for that.
This overview explains automakers’ electrification goals and the billions of dollars in investments they are making. For example, Ford, Volkswagen, and BMW say they expect at least half of their new car sales to be electric by 2030. Volvo is predicting this. all Both companies report investments in EVs totaling $100 billion over the next five years.
Oil industry and state allies argue that California is “forcing” a “wholesale transformation” and “fundamentally transforming the auto industry.” On the contrary, automakers responded that “both internal sustainability goals and market forces, such as surging consumer demand and the limitations of existing technology, are driving the transition to electric vehicles.” And car companies are revealing why consumer demand is surging: “Beyond emissions reductions, consumers derive many benefits from electric vehicles, including reduced lifetime operating costs and maintenance requirements, and ease of integration with other consumer technologies.”
Oil companies complain that the shift to electric vehicles will reduce fuel sales. Automakers say it’s the magic of innovation and competition. New products always replace old ones. “Decreased interest in traditional products due to advances in technology and changing consumer tastes is an inevitable reality of the market and occurs in all sectors of the economy.”
How it all started
Recognizing California’s severe smog and the state’s early efforts to combat it, Congress more than 50 years ago explicitly gave the Golden State the authority to exceed federal pollution standards. And the Clean Air Act allows other states to follow California’s rules. The law directs the EPA to grant California a “waiver” to its standards, which the EPA has issued about 75 times.
Using this legal authority, in the 1990s California began increasing the percentage of zero-emission vehicles it required automakers to sell to combat the state’s intractable smog. And under a state law enacted in 2002, California set the first standards for vehicle greenhouse gas emissions. These were initially adopted in 13 other her states, and the number has since increased to 17 her states. At the same time, NRDC joined states and other environmental groups in suing the Bush administration for failing to set greenhouse gas standards at the federal level.
These events sparked three major legal and legislative battles. In this battle, the auto industry lost in his 2007 and 2008 in quick succession. First, the Supreme Court ruled that carbon dioxide and other heat-trapping emissions from cars and trucks are air pollutants subject to EPA regulation. Based on the Clean Air Act. Second, automakers lost two lawsuits to block California’s standards (here and here). Third, by enacting the Energy Independence and Security Act, Congress directed the Department of Transportation to significantly increase federal fuel economy standards for the first time in decades.Parliament is noteworthy was denied Various amendments would overturn these court decisions and strip the EPA and the State of California of their clean air authority.
So automakers had to ask themselves how to navigate three regulatory regimes. And in the early days of the Obama administration, industry, federal agencies, states, unions, and environmentalists argued that raising standards through 2025 would both significantly reduce carbon pollution and secure a stable future for automakers’ plans and investments. We have concluded an agreement to provide
These agreements lasted until the Trump administration attempted to both lock down California and weaken federal standards. The ensuing legal battle undermined the automaker’s past investments and thrown its future plans into disarray.
While some companies, most notably GM, Toyota, and Chrysler, supported President Trump’s reversal of the policy, major corporations took the opposite direction. Ford, Volkswagen, BMW, Honda and Volvo have reached new agreements with California on standards they will meet across the country regardless of whether President Trump’s rollback is successful.
how it’s happening
And so we come to this lawsuit, where we stand with the Biden administration and the state of California to restore the legal framework that these companies relied on to plan and invest. Meanwhile, Congress last year collaborated on infrastructure funds and tax incentives to build charging networks and encourage consumers to use electricity.
The market forces driving the transition to EVs are in full swing.
There is still much work to be done. The issue in this lawsuit concerns standards up to the 2026 model year. California has adopted her 2035 standard to continue the transition to electric vehicles. And, based on historic incentives from Congress, EPA is also preparing to issue new standards. These are needed as we continue to drive EV adoption nationwide, and we also need to continue to reduce emissions from the tens of millions of gas-powered cars that will be sold before the transition to EVs is complete. there is.
The oil industry may continue to scream, but the entire auto industry needs to commit to steps that are good for both consumers and the climate. Time will tell.
However, the progress made during that time is worthy of recognition.
For decades, automakers have done everything they can to thwart common-sense tailpipe pollution and fuel efficiency standards. But times are changing.
So this isn’t your father’s auto industry. And while it’s not the auto industry for your grandchildren yet, it’s a work in progress.