In Short

• Trump is all set to overturn the Obama-era emission rules for cars.
• Cancelled electric vehicle tax credits of $7,500 for new EVs.
• Transportation is responsible for about 29% of the U.S.'s greenhouse gas emissions.

In yet another rollback of environmental regulations, the Trump-era Environmental Protection Agency (EPA) is heading towards rescinding all greenhouse gas (GHG) emission standards for vehicles.

If this is to happen, the emission standards set for vehicles, including light-duty, medium-duty, and heavy-duty ones, will no longer be in place.

The move comes on the heels of a plan to withdraw the scientific finding, also known as the "endangerment finding," which forms the basis for those emission rules.

Published in 2009, during Obama's time, the finding declared that GHG emissions from vehicles endanger public health and welfare, thereby giving the EPA the authority to regulate them.

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Now, the EPA argues that the Clean Air Act does not authorise it to set emission standards based on climate change concerns. The agency, in its draft policy, intends to revoke the endangerment finding, citing that the science used to substantiate it was misinterpreted or flawed.

However, in a 2007 U.S. Supreme Court ruling (Massachusetts v. EPA), the Court held that the EPA has the authority to regulate GHGs if they are found to be harmful. Therefore, the Obama administration acted on this swiftly, issued the endangerment finding, and enacted stricter fuel standards, as well as extended support for electric vehicles (EVs).

According to the EPA, the technology being used to curb emissions could end up becoming counterproductive, citing the high costs associated with it. In contrast, research under the Biden administration suggests that even though cleaner cars have an upfront cost, they would ultimately save consumers money due to lower fuel and maintenance expenses in the long run.

In the U.S., transportation accounts for nearly 29% of total GHG emissions, making it one of the largest contributors to pollution and climate change. At present, the rules aim to reduce emissions by 49% by 2032 compared to 2026 levels. To achieve these targets, the EPA estimates that between 35% and 56% of new vehicle sales by 2030–2032 must be electric.

But the future of EV adoption appears bleak, as the Trump administration has already cancelled the $7,500 tax credit for new EVs and the $4,000 credit for used EVs as of September 30, and has frozen billions of dollars set aside for the construction of EV charging stations across the country. These actions are intended to support fossil fuel businesses and hinder progress in the transition to electric vehicles.

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Apart from these, Trump has recently signed three resolutions to cancel California’s EV mandates and clean diesel rules. The most consequential among them is the cancellation of California’s plan to ban new petrol-only vehicle sales by 2035—a policy adopted by 11 other states, covering a third of the U.S. market. To challenge this federal repeal, California has taken the matter to court.

Ends/

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Source: Reuters