The U.S. Energy Department (DOE) has proposed new fuel economy rules that would lower the mileage ratings for electric vehicles (EVs) in an effort to comply with existing fuel economy standards. The new proposal would reduce the efficiency ratings of electric vehicles by about 10%, lowering the mileage rating for an EV from 125 miles per gallon equivalent (MPGe) to 113 MPGe. This current system of calculating the petroleum equivalent fuel economy has not been updated in over two decades.

Today, the European Union countries gave their final approval to adopt a new regulation that will require a 100% reduction in emission from new cars and vans. The EU policy will require all new cars sold to have zero CO2 emissions from 2035 and 55% lower CO2 emissions from 2030, versus 2021 levels. This is in line with the European Commission’s “Fit for 55” roadmap to cut GHG emissions. However, Germany won an exemption for cars running on e-fuels, leading to concerns that traditional combustion engine cars could still be sold beyond 2035.