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Power Generation Initiative Updates
Monday, 04 April 2016 18:10

CAFE Standards Midterm Evaluation

Potential Impact on Electric Vehicle (EV) Incentives



In 1974, Congress enacted the Corporate Average Fuel Economy (CAFE) Standards to improve the fuel efficiency of passenger vehicles and reduce oil imports. In April 2010, and August 2012, the National Highway Transportation Safety Administration (NHTSA) and Environmental Protection Agency (EPA) established the 2012 – 2016 CAFE standards and 2017 – 2025 CAFE standards, respectively. These CAFE standards included vehicle efficiency standards and, for the first time, greenhouse gas (GHG) emissions standards, calculated in grams of carbon dioxide (CO2)/mile. There are also incentives for advanced vehicles, including electric vehicles, plug-in hybrid electric vehicles, and fuel cell vehicles, herein referred to as “EVs.”

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