Mileage Standard to Rise to 27.3 MPG

By STEPHEN POWER and CHRISTOPHER CONKEY

WASHINGTON -- The Obama administration is expected to announce Friday that it will raise fuel economy standards for 2011 model cars and light trucks to 27.3 miles per gallon from the current 25.3 mpg.

The new rules aren't as aggressive as some environmental groups had hoped or as the Bush administration had once proposed. But they are likely just a first step in a series of moves by the administration to significantly ratchet up fuel-efficiency demands on the nation's automakers. Next could come a decision by June to grant California a waiver from the federal Clean Air Act that would allow the state to regulate automobile emissions of carbon dioxide.
Under the new rules, fuel economy standards for passenger cars will be set at 30.2 mpg in the 2011 model year, compared with the current 27.5 mpg standard. The light-trucks standard would rise to 24.1 mpg from the current standard of roughly 23 mpg. Combined, the fleet average for 2011 models is supposed to achieve 27.3 miles per gallon.
A spokesman for the Alliance of Automobile Manufacturers, Charles Territo, said the new rule is "a good first step" but that auto makers "now need the administration to finalize fuel economy regulations for 2012 and beyond."
Write to Stephen Power at stephen.power@wsj.com and Christopher Conkey at christopher.conkey@wsj.com