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Potential Reactions to the Greenhouse Gas (GHG) Phase 2 Rules

Earlier this month the White House, Environmental Protection Agency (EPA) and National Highway Transportation Safety Administration put out their final “Phase 2” rules for greenhouse gas/fuel economy for medium and heavy duty commercial vehicles.

The rules are set to cover all semi-trucks, vans and large pickup trucks. They will also govern buses and work trucks manufactured during the model years 2021 – 2027. Once the standards have been completely phased in, future tractor-trailer combinations will be required to knock a full quarter percent off of their carbon dioxide emissions and fuel consumption when compared to an equivalent vehicle with a 2018 manufacturing date.

What it Covers

When it comes to what kind of equipment you buy and how that equipment will function when getting the job done, these rules will apply. While there were some negative early reactions, most of the response has been positive. The fact is, fuel economy and carbon emissions are a reality, and the trucking industry is facing them head on.

With the United States facing some serious challenges in greenhouse gas reduction, manufacturers and government agencies will need to partner up to develop innovative new solutions to fuel economy and emissions problems.

For many, building on existing industry leadership will be crucial in this endeavor. Many major manufacturers are already showing support for regulations designed to lower greenhouse gas emissions and fuel consumption.

What many wanted to see in the new rule was a collaborative effort. They expected the final rule to provide clear, long-term targets that apply not just to the engine, but to the entire vehicle itself. They also wanted the rule to give industry players enough time to adapt and choose how to achieve the reductions in a way that doesn’t harm their business.

Potential Engineering Challenges

There are also engineering feats to consider. Although many are proud of their achievements, manufacturers understand that it will take a serious effort, backed up with a lot of brain power, to achieve a 25% reduction in both emissions and fuel consumption.

Considering big players like Cummins and Daimler have already proven their capability in meeting Phase 1 efforts, getting to Phase 2 shouldn’t be extraordinarily difficult. With industry players getting to work with the EPA and NHTSA during the draft review process, the final rule is able to better clarify how it impacts the needs of both motor carriers and their customers.

Trailer makers are, of course, definitely a concerned participant in the conversation, and the final ruling does include trailers. Some trailer manufacturers have called the final eco2 targets “more stringent,” but are vowing to find ways to comply.

One manufacturer, Great Dane Trailers, has reported working on some of the lightest reefer and flatbeds on the market. While they expect to see a jump in initial acquisition costs, they do note that their customers will see improvements in their cost of ownership over the long-term.

What Does the ATA Say?

Unsurprisingly, the American Trucking Associations (ATA) quickly came out with an extensive statement evaluating the GHG proposals. According to their statement, they “developed and adopted a set of 15 guiding principles.” These guiding principles would serve as parameters for inclusion once the rule was finalized.

They went on to express pleasure that their concerns were heard and included in the final rule. A few things they recommended included:

  • Adequate lead time
  • Technology development markers
  • National harmonization of standards
  • Manufacturer flexibility

In the end, the ATA reports that they will continue to work with the EPA and NHTSA, though they did highlight transparency and accommodation to industry-sensitive concerns as sticking points. As the GHG Phase 2 rule is rolled out, we’ll see how this story evolves over time.

The fact is, improved fuel economy is a goal that shouldn’t be hard for stakeholders to unite around. While the new targets may represent a challenge to some in the industry, most are focused on meeting their goals in a way that has a minimal impact on fleets or other industry participants.

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