On May 19, at a press conference in which President Obama was joined by Governors Arnold Schwarzenegger (R-CA) and Jennifer Granholm (D-MI), the Obama administration announced plans to issue the most stringent fuel economy standards for automobiles ever enacted in the United States. If approved, the new Corporate Average Fuel Economy (CAFE) standards would require vehicular fleets, including all cars and trucks in the model years 2012-2016, to meet average fuel economy standards of 35.5 miles per gallon by 2016. The new standards set a stricter and earlier target than the 35 miles per gallon by 2020 average mandated by the Energy Independence and Security Act of 2007 (P.L. 110-140). White House officials said the plan would reduce greenhouse gases by 900 million metric tons over the life of the program, and reduce oil consumption by 1.8 billion barrels -- an amount President Obama referred to as “more oil than we imported last year from Saudi Arabia, Venezuela, Libya, and Nigeria combined."

The proposal was backed by major automobile manufacturers including Ford, Toyota, General Motors, and Honda, along with the United Auto Workers, and sets a uniform national fuel economy standard as opposed to a patchwork of state regulations. “What's significant about the announcement is it launches a new beginning, an era of cooperation. The President has succeeded in bringing three regulatory bodies, 15 states, a dozen automakers and many environmental groups to the table," said Dave McCurdy, president of the Alliance of Automobile Manufacturers. U.S. Environmental Protection Agency (EPA) Administrator Lisa Jackson also hailed the program, affirming that, "A supposedly 'unsolvable' problem was solved by unprecedented partnerships."

For additional information see:
http://www.whitehouse.gov/the_press_office/President-Obama-Announces-Nat...
http://www.reuters.com/article/mnCarbonEmissions/idUS256433619320090519
http://www.nytimes.com/cwire/2009/05/19/19climatewire-white-house-propos...
http://www.freep.com/article/20090519/BUSINESS01/90519052/Obama++Fuel+de...