New York, California and three other U.S. states on Monday are taking legal action against the federal government for delaying the rollout of higher “gas-guzzler” penalties for auto companies constructing new automobiles failing to fulfill minimum fuel-economy standards.
The suit, which likewise consists of Vermont, Maryland and Pennsylvania, is the highest-profile legal challenge to Trump administration auto policy to this day. As part of a broad deregulation push under President Donald Trump, regulators are discussing whether to give automakers significant decreases in fuel economy requirements.
California Attorney General Xavier Becerra stated that fuel effective vehicles indicate “cleaner air, better overall health for our kids, and savings at the pump … We will hold the Trump Administration accountable.”
Reuters examined a copy of the suit before its filing in the United States Court of Appeals in New York. The difficulty by the states follows a different suit submitted by three environmental groups over the delay.
The states and ecological groups are disputing the National Highway Traffic Safety Administration’s (NHTSA) decision in July to suspend a 2016 Obama administration regulation that doubled penalties more than twice.
Automakers opposed the hike, adding it could boost industry compliance expenses by $1 billion every year.
Congress in 2015 ordered federal firms to adjust civil penalties to account for inflation and, in reaction, NHTSA proposed to raise fines to $14 from $5.50 for each 0.1 mile per gallon of fuel that new vehicles consume in excess of required standards under the Corporate Average Fuel Economy (COFFEE SHOP) program.
