The Environmental Protection Agency (EPA) and the National Highway Traffic Safety Administration (NHTSA) are expected to propose an end to the 2009 waiver that gave California the right to regulate greenhouse gas emissions from cars and mandate that auto companies reach a quota of electric vehicles sold, according to Bloomberg News.
California and 16 other states, plus the District of Columbia sued May 2 to block the Trump administration from pumping the brakes on emissions standards. That is no longer the case as the country is on track to become a net energy exporter by 2026, according to a study by the Energy Information Administration.
In 2009, California received a waiver from the EPA, allowing it to set its own limits on greenhouse gases from vehicles, effectively mandating that vehicles sold in California burn less fossil fuel.
The Trump administration will seek to revoke California's authority to regulate automobile greenhouse gas emissions - including its mandate for electric auto sales - in a proposed revision of Obama-era standards, according to three people familiar with the plan.
Regulators predict that freezing national emissions standards after from 2020 to 2026 would increase USA fuel consumption by about 500,000 barrels of oil per day, the source said.
The Trump Adminstration announced plans this week to force California and other CARB-compliant states to roll back emissions standards.
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The proposal is still in the final stages of a broad interagency review led by President Donald Trump's Office of Management and Budget, but these major elements of the plan were not expected to change, the people said.
The plan is also likely to set up a high-stakes battle over California's unique position to regulate emissions. "And that's exactly what the EPA is proposing to do now". Jerry Brown did not respond to a request for comment Monday.
In addition, the Trump administration plans to propose a rule that would revoke a waiver California was granted by the EPA under the Clean Air Act, which allowed California to set its own emissions rules and requirements for zero emission vehicles.
Public hearings on the proposals have drawn mainly opponents, including scientists and health officials who say the change would throw out bedrock public-health studies that draw on confidential data on individual patients. In March 2017, former Environmental Protection Agency administrator Scott Pruitt was reportedly looking at ways to remove California's waiver, according to a report from The New York Times. NHTSA is planning to argue that a 1975 law that enacted the first federal fuel efficiency standards prohibits the state from regulating tailpipe emissions.
California is considered an environmentally conscious, "green" state, and the announcement is already being targeted by politicians. California and automakers agreed to the rules in 2012, setting a single national fuel economy standard.
For its part, the American Trucking Associations said that although the current Trump administration moves are targeting passenger cars, it will be keeping an eye for new developments that affect the trucking industry.