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AUTO LOBBYISTS REV UP FOR FUEL FIGHT.

National Journal

| May 12, 2001 | STONE, PETER H. | COPYRIGHT 1998 Atlantic Media, Inc. This material is published under license from the publisher through the Gale Group, Farmington Hills, Michigan.  All inquiries regarding rights should be directed to the Gale Group. (Hide copyright information)Copyright

As it gets ready to release a much anticipated report on national energy strategy, the Bush Administration is sending mixed signals to automakers on one of the industry's most important positions: opposition to new mandates that would toughen fuel-economy standards.

Two weeks ago, auto lobbyists were relieved when Vice President Dick Cheney's remarks on energy omitted any mention of raising vehicle fuel-economy standards to help cut oil consumption. But on May 8, Cheney said in a CNN interview that the Administration later this year might consider tightening the standards, depending upon the conclusions of a soon-to-be-published National Academy of Sciences study.

The White House's mixed signals followed other troubling news for the auto companies. Five Senators--three Democrats and two Republicans--earlier this month introduced a bill that by 2007 would require automakers to improve the average fuel economy of all new light trucks, including sport utility vehicles, by about 7 miles per gallon.

Sens. Dianne Feinstein, D-Calif., and Olympia Snowe, R-Maine, say their bill to boost the corporate average fuel-economy, or CAFE, standards could save the country 1 million barrels of oil per day, cut annual oil imports by 10 percent, and prevent 240 million toils of carbon dioxide emissions that contribute to global warming. (The bill's co-sponsors are Sens. Susan Collins, R-Maine; Jack Reed, D-R.I.; and Charles E. Schumer, D-N.Y.)

Auto companies are revving up their lobbying engines to stop the measure, because light trucks account for almost half of all…

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