Home / Auto News / News article: 54.5 MPG Fuel Efficiency Standard Passed for 2025 - AutoGuide.com News
 |  Aug 28 2012, 2:22 PM

The Obama administration passed a new fuel efficiency standard today which requires every automaker to meet an average fuel economy of 54.5 mpg for cars and light trucks by 2025.

This move will help the American public save $1.7 trillion at the gas pump and reduce U.S. oil consumption by 12 billion barrels over the life of the program. Reduced dependency on foreign oil is also a positive aspect of the regulations, one that Operation Free, a group of military veterans calls “a national security imperative.”

For persons purchasing a new vehicle in 2025, the savings will be about the same as taking $1 dollar off of a gallon of gasoline and will amount to roughly $8,000 in savings over the lifetime of a vehicle. The standards will also cut emissions in half by 2025, reducing them by 6 billion metric tons compared to today.

“This historic agreement builds on the progress we’ve already made to save families money at the pump and cut our oil consumption. By the middle of the next decade our cars will get nearly 55 miles per gallon, almost double what they get today,” said President Obama. “It’ll strengthen our nation’s energy security, it’s good for middle class families and it will help create an economy built to last.”

Along with helping wallets and the environment, the new technologies needed to help our cars achieve these standards are currently under development, and should help to create around 150,000 new jobs.

Alongside the United Auto Workers union, 13 volume automakers in the U.S. announced their support for the regulations last year.

Fuel-saving technology has already been cited as being the most important factor when buying a new car, and automakers are already making serious moves to offer gas-sipping options.

Hybrid setups, lightweight materials, direct-injection, turbocharging, and all-electric battery powered vehicles are just some of the ways that car companies are helping to cut fuel usage. Diesel and natural gas vehicles are also being moved more into the main stream as alternatives to gasoline.

Incentives for buying a vehicle equipped with fuel saving technologies are also included in the regulations. All-electric vehicles along with plug-in hybrids and fuel cell vehicles will be reduced in cost by the U.S. in hopes to push people towards early adoption. Hybrid technologies in large vehicles will also get incentives, along with natural gas.