GOP Bill Silently Kills Fuel Economy Rules: Automakers Get A Zero-Dollar Free Pass

While Americans struggle with high gas prices, Senate Republicans have introduced a reconciliation bill that would completely gut the decades-old Corporate Average Fuel Economy standards. The proposal’s details are pretty blunt: abolish CAFE standards entirely, zero out all fines for automakers who violate efficiency rules, and strip away federal enforcement authority. Game over for fuel efficiency requirements.

Senate Republicans target CAFE standards while drivers pay more at the pump. Their plan: eliminate efficiency rules entirely.

The House version goes even further. It aims to eliminate both EPA tailpipe and Transportation Department fuel economy standards. Just wipe them clean off the books. The Senate Commerce Committee quietly released this provision, marking what might be the biggest rollback of vehicle efficiency oversight in decades.

What does this mean? Automakers get a free pass. No penalties. No consequences for churning out gas guzzlers. Those SUVs and trucks that drink fuel like it’s going out of style? Expect more of them. CAFE standards used to push manufacturers toward better efficiency. Not anymore.

This isn’t just an environmental issue. It’s a wallet issue. CAFE standards have saved American families trillions at the gas pump over the years. Without them, expect your fuel costs to climb. The Biden administration’s rules were projected to save consumers 23 billion dollars in gasoline costs. The related House Republican tax bill is projected to jack up gas prices 25-37 cents per gallon by 2030. Great timing, right?

The environmental impact is obvious. More gas burned means more pollution. This is particularly concerning as methane leaks from natural gas extraction are already five times higher than official estimates, compounding climate impacts. Over 26 million people of color already live in counties with failing air quality. This bill makes that problem worse, not better.

Since the 1970s, CAFE standards have been the main federal tool pushing automakers toward efficiency. They’ve worked surprisingly well, even during the SUV boom. Car efficiency hit record highs over two decades because of these rules.

Republican lawmakers and some auto industry players support the measure. Environmental and consumer advocates are fighting back, calling it one of the most anti-environmental moves in recent congressional history.

Americans’ wallets and lungs are about to take a hit. All so automakers can avoid a fine. The average household is projected to spend an additional $2,400 on unnecessary gasoline over the next decade as a direct result of these policy changes.