According to a report by The New York Times on Saturday, the Biden administration is poised to revise its regulations concerning the transition to electric vehicles (EVs). Citing insights from three individuals familiar with the plan, the Times revealed that the Environmental Protection Agency (EPA) intends to alter its proposed rule, adopting less stringent requirements for vehicle pollution in the immediate future.
Under the proposed rule change, car manufacturers would face reduced obligations to incorporate electric vehicles into their fleets by 2030 compared to the Biden administration’s initial proposal. This adjustment is seen as a boon for both automakers and labor unions, affording the industry additional time to ramp up production of EVs and bolster charging infrastructure before facing stricter regulations affecting the gasoline-powered vehicle market.
Despite significant growth in the EV sector in recent years, particularly with the proliferation of hybrid cars, the transition to fully electric vehicles has not occurred as rapidly as anticipated. Data from The Associated Press indicates that EV sales only accounted for 7 percent of the market in the previous year.
These figures contrast sharply with the Biden administration’s ambitious projections, which forecast EVs comprising up to two-thirds of vehicle sales by 2032. Moreover, the Congressional Budget Office has revised its cost estimates for the Inflation Reduction Act upward, attributing the adjustment to a higher-than-expected number of Americans claiming EV tax credits.
The anticipated rule change also addresses political concerns, notably from the United Auto Workers union, regarding President Biden’s reelection campaign. The union recently endorsed Biden, following months of political tension and cautionary statements regarding the rapid transition to EVs.
Initially proposed by the EPA last year, the stringent tailpipe standards were perceived as potentially mandating the sale of predominantly zero-emissions vehicles by 2030. In December, the House GOP passed a resolution seeking to repeal the rule, while car dealers voiced widespread opposition to it in the preceding month.
The Times suggests that the Biden administration is poised to announce the rule change this spring, signifying a significant shift in the regulatory landscape surrounding the adoption of electric vehicles in the United States.
