LOS ANGELES: Auto makers in California may soon be under pressure to ensure tail-pipe exhaust from their vehicles release less carbon dioxide and other greenhouse gases (GHG) into the air. Governor Arnold Schwarzenegger took the state's battle against climate change to its next stage by announcing a mandatory 10 percent reduction in carbon levels in motor vehicle fuels by 2020.
In his 'State of the State' address late yesterday, the Republican leader announced a Low Carbon Fuel Standard to reduce GHG emissions in all transportation fuels. The executive order will be implemented by a group of organizations comprising the California Energy Commission, the Environment Protection Agency, the Air Resources Board (ARB) and the University of California. The ARB is ordered to complete the regulatory formalities before December 2008.
In September 2006, Schwarzenegger had signed a new state law – the California Global Warming Solutions Act 2006 which was hailed as “the world's most comprehensive GHG reduction program”. The exemplary move by California soon inspired similar programs in other states.
Besides an expected 20 percent reduction in fuel consumption the new move could also open up the alternative-fuels market in the state, California Air Resources Board chairman Robert sawyer said. He estimates the market could triple in size from the surge in demand. Also, alternative-fuel or hybrid vehicle sales could surge in the coming months and there would be at least 7 million such vehicles, like the electricity-driven car, on California roads, he believes.
Until now the state has relied heavily on petroleum-based fuel with transportation accounting for a sizeable percentage of the consumption. 40 percent the GHG emissions in the state is blamed on transportation alone.
Companies associated with the auto industry would also be affected. Oil companies making ethanol-based fuel additives could benefit. Eventually, the market would also include new gasoline blends and environment-friendly fuels such as biomass or hydrogen.
Schwarzenegger's initiative and the new law have been mostly welcomed except by a few fellow Republicans.
