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Copyright 2001 The New York Times Company  
The New York Times

July 31, 2001, Tuesday, Late Edition - Final

SECTION: Section C; Page 4; Column 3; Business/Financial Desk 

LENGTH: 930 words

HEADLINE: Report on Fuel Economy Is Less Optimistic in Final Form

BYLINE:  By KEITH BRADSHER 

DATELINE: DETROIT, July 30

BODY:
As the House prepares to debate this week how much automakers should improve the fuel economy of new automobiles, a federal panel produced a carefully hedged report today saying that considerable gains were possible but might pose safety risks.

The final report is less optimistic about the opportunities for improving fuel economy than a draft report that the panel sent to nine outside reviewers three weeks ago. The final report foresees significant improvements in gas mileage over the next 15 years, instead of the 6 to 10 years cited in the executive summary of the draft, and does not include a statement that fuel-economy gains can be made with minimal changes in vehicles' weight and minimal effects on safety.

The report immediately became the subject of a tugging match pitting the White House and conservative Republicans in Congress, who want the administration to decide fuel-economy policy, against Democrats and moderate Republicans in Congress, who want Congress to pass a law raising gas mileage standards.

Each Transportation Department budget for the last six years has contained a provision that bars the spending of any government money to review or change fuel-economy policies. The provision was pushed through by Republican majorities in the House and Senate to prevent President Bill Clinton from raising gas-mileage standards. But the provision passed in last year's budget bill, when President Clinton was still in office, remains in effect through Sept. 30 and has prevented the Bush administration from pre-empting Congress by taking action on fuel-economy regulations.

President Bush and Vice President Dick Cheney said earlier this year that they were waiting for the report from a National Academy of Sciences panel before deciding how to proceed on the fuel-economy portion of their energy policy. But Ari Fleischer, the White House press secretary, said today that the budget provision would allow administration officials only to read the study, not give it a more serious review.

"The prohibition that the Congress has passed on the administration reviewing the National Academy of Sciences' study destines the study to gather dust until October," Mr. Fleischer said during his daily briefing today. "And that's why the administration has strongly urged Congress to remove the prohibition."

The House is scheduled to take up the fuel-economy issue on Wednesday or Thursday. A bill supported by conservative Republicans and sent to the House floor by the Energy and Commerce Committee calls for the administration to require a small increase by 2010 in the gas mileage of light trucks, a category that encompasses sport utility vehicles, pickup trucks and minivans. Democrats and moderate Republicans hope to amend that bill on the floor with a provision that would require light trucks to begin achieving the same gas mileage as cars.

Current regulations require each automaker to produce a fleet of cars with an average gas mileage of 27.5 miles a gallon and a fleet of light trucks with an average of 20.7 miles a gallon. The regulations also allow automakers to use a special system for calculating fuel economy that adds an extra 18 percent to vehicles' actual fuel economy.

Another rule allows automakers to add up to 1.2 miles a gallon to the actual fuel economy of their fleets if they produce large numbers of vehicles that can burn either gasoline or ethanol. While large numbers of these dual-fuel vehicles are being manufactured, the report concluded that very few of them are burning ethanol, and the report recommended that the program be canceled.

Politicians and lobbyists on both sides of the fuel-economy debate argued today that the report supported their points of view while sparring over changes made between the draft report and the final version.

Senator Dianne Feinstein, a California Democrat who favors higher fuel-economy standards, said, "Congress should act, and I think over all this is a very positive report for increasing fuel efficiency." She said that the report still favored her view that raising gas-mileage standards would slow global-warming gas emissions and improve safety.

The Alliance of Automobile Manufacturers took the opposite view, contending that the report showed that fuel-economy issues were so complex that they would have to be handled by the Transportation Department. In a statement reviewing the report, the alliance chose to emphasize some statements that had been changed between the draft report and the final report, particularly regarding safety.

The final report said that the shift toward smaller and lighter vehicles that followed sharp increases in fuel economy during the Carter administration had been linked to "an additional 1,300 to 2,600 traffic fatalities in 1993." But other passages in the report were less pessimistic about the safety consequences of an increase in gas-mileage standards, and two panel members dissented from the majority on whether there was even a connection between vehicle weight and the overall number of traffic fatalities.

Auto industry lobbyists and environmentalists alike contacted members of the panel after an article about the draft report appeared in The New York Times on July 17, Paul R. Portney, the panel's chairman, said at a news conference today. But the draft report was reworked not because of outside contacts but because of 400 comments received from the nine outside reviewers and because members of the panel spotted errors in the draft report and changed their minds about some issues, he said.
 

http://www.nytimes.com

GRAPHIC: Chart: "Toning Down a Report on Gas Mileage"
The final report from a National Academy of Sciences panel on raising fuel-economy requirements was less optimistic than the draft report sent to outside reviewers early this month. Here are some of the changes made between the draft and final reports:
 
TIME PERIOD FOR FUEL-ECONOMY GAINS: The 13-member panel said it had made a mistakein the executive summary of its draft report in stating how long it would take to improve gas mileage.
 
DRAFT REPORT: Technology exists that could be incorporated into passenger cars and light-duty trucks, within the next 6-10 years, which would provide significant improvements in fuel economy.
 
FINAL REPORT: Technologies exist that, if applied to passenger cars and light-duty trucks, would significantly reduce fuel consumption within 15 years.
 
TRAFFIC SAFETY EFFECTS OF HIGHER MILEAGE: The panel split, with two members writing a dissent to say that fuel economy could be raised without affecting safety, while the rest of the panel opted for warning of safety problems.
 
DRAFT REPORT: Significant fuel-economy gains in all vehicles can be achieved with minimal or no weight reduction and therefore minimal negative safety implications.
 
FINAL REPORT: Sentence deleted.
 
OVERALL RECOMMENDATION
The committee toned down its final recommendation, saying that elected officials should decide whether to require tougher fuel-economy standards.
 
DRAFT REPORT: Because of concerns about greenhouse gas emissions and the level of oil imports, the federal government should intervene to increase gradually the fuel economy of the personal vehicle fleet beyond that expected to result from market forces alone.
 
FINAL REPORT: Because of concerns about greenhouse gas emissions and the level of oil imports, it is appropriate for the federal government to ensure fuel-economy levels beyond those expected to result from market forces alone.      

LOAD-DATE: July 31, 2001




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