Light-Duty Automotive Technology, Carbon Dioxide Emissions, and Fuel Economy Trends: 1975 Through 2010 Appendix A Database Details and Calculation Methods Compliance and Innovative Strategies Division and Transportation and Climate Division Office of Transportation and Air Quality U.S. Environmental Protection Agency NOTICE This technical report does not necessarily represent final EPA decisions or positions. It is intended to present technical analysis of issues using data that are currently available. The purpose in the release of such reports is to facilitate the exchange of technical information and to inform the public of technical developments. SEPA United States Environmental Protection Agency EPA-420-R-10-023 November 2010 ------- Harmonically Averaging Fuel Economy Values Dimensionally, fuel economy is miles divided by gallons. Then, presented with more than one fuel economy value, an approach to averaging the values is to compute the result by determining the total miles traveled and dividing that by the total gallons used. Example: A motorist's fuel economy log for May shows that 704 miles were accumulated around town in which the fuel economy was 16 mpg, and one 216 mile highway trip was taken on which the fuel economy was 24 mpg. What is the average fuel economy for May? The total miles are 704 + 216 = 920. The total gallons thus are 704 / 16 = 44 plus 216 / 24 = 9 or atotal of 53 gallons. The average mpg is 920 / 53 = 17.4 mpg. Notice that the arithmetic average of the two fuel economy values (16 + 24) / 2 = 20 mpg gives an individual result that is higher than the total miles/total gallons result. Even if the around-town miles traveled and the highway trip miles traveled were the same (460 miles), the average fuel economy would not be 20; it would be 19.2 mpg. This is because in the total miles/total gallons approach, fuel consumption is arithmetically averaged, but fuel economy is harmonically averaged, so for the second example (equal trip distances), the calculation would be: Average MPG = which is the same as arithmetically averaging the two fuel consumption values. A specific example of this type of averaging approach is shown in the calculation of the overall average fuel economy using the EPA "city" (MPGC) and EPA "highway" (MPGH) fuel economy values. Total Miles Averaqe MPG = a Total Gallons Total Miles City Gallons + Highway Gallons Total Miles I City Miles Highway Miles \ ( City MPG + Highway MPG ) Now, if city miles are 55 percent of total miles and highway miles are the remaining 45 percent, after dividing by total miles, A-l ------- Average MPG = Q^ Q \MPGC ^ MPGf and this average mpg would represent a composite mpg value based on the 55% city/45% highway driving in this example. This 55% city/45% highway weighting is the metric in this report for laboratory composite fuel economy values. The same approach can be used when the average mpg of a group of vehicles with different mpg values is to be calculated. Suppose a fleet of 100,000 vehicles is made up of two classes, one of 70,000 vehicles whose fuel economy is 10 mpg and the other of 30,000 vehicles whose fuel economy is 14 mpg. Each vehicle in the fleet is assumed to travel the same number of miles (M), Total Miles = 100,000 M 70,000 M 30,000 M Total Gallons = — + • 10 14 and the average fuel economy is: 1 Average Fuel Economy = —^-=—ppr— = 10.9 mpg _ + " 10 ^ 1 where .7 and .3 are the relative shares of each vehicle class in the fleet. Notice that, again, the arithmetic average of the class fuel economy values (10 + 14)/2 = 12 mpg is higher. In general, some form of a weighted harmonic mean must be used when averaging different fuel economy values in order to maintain mathematical integrity. While fuel economy values (in miles per gallon) must be harmonically averaged to maintain mathematical integrity, fuel consumption values (in gallons per mile) and carbon dioxide emissions values (in grams per mile) can be arithmetically averaged. A-2 ------- Estimated and Final Production Data Table A-l compares average laboratory 55/45 fuel economy for model years 1998 through 2009 at three points in time: (1) an initial estimate determined early in the model year using projected production; (2) for some years, a revised estimate determined by using trade publication sales data that were obtained after the end of each model year, but before the final CAFE data were submitted by automakers to the Federal Government; and (3) final fuel economy values determined from CAFE compliance data provided by the manufacturers to the Federal Government after the end of the model year. Historically, the final car plus truck laboratory 55/45 fuel economy values have generally varied from 0.4 mpg lower to 0.6 mpg higher compared to the original estimates based exclusively on projected production. But, MY2009 was a very unusual year in this regard. The final car plus truck laboratory 55/45 value for MY2009 in this report is 1.8 mpg higher than the initial estimate for 2009 in last year's report, due to the market turmoil in MY2009. The final adjusted car plus truck fuel economy value for MY2009 is 1.3 mpg higher than the initial estimate in last year's report. A-3 ------- Table A-l Comparison of Laboratory 55/45 MPG Cars Trucks Both Model Year 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 Initial Estimates 28.6 28.1 28.1 28.3 28.5 29.0 28.7 28.9 28.8 29.4 30.3 30.9 32.7 20.6 20.3 20.5 20.3 20.4 20.8 20.9 21.3 21.5 22.1 22.5 22.9 23.8 24.4 23.8 24.0 23.9 24.0 24.4 24.4 24.6 24.6 25.3 26.0 26.4 28.3 Revised Estimates 28.6 28.2 28.3 28.3 28.5 28.9 28.9 29.2 29.2 30.3 20.6 20.4 20.5 20.4 20.3 20.9 20.9 21.2 21.9 22.1 24.4 24.0 23.9 24.0 23.9 24.2 24.4 24.6 25.3 25.7 Final Value 28.5 28.1 28.2 28.4 28.6 28.9 28.9 29.5 29.2 30.3 30.5 32.1 20.9 20.5 20.8 20.6 20.6 20.9 20.8 21.4 21.8 22.1 22.7 23.8 24.5 24.1 24.3 24.2 24.1 24.3 24.0 24.8 25.2 25.8 26.3 28.2 A-4 ------- Use of 3-Year Moving Averages Use of the three-year moving averages, which effectively smoothes the trends, results in an improvement in discriminating real trends from what might be relatively small year-to-year variations in the data. For this report, as shown in Table A-2, these three-year moving averages are tabulated at the midpoint. For example, the midpoint for model years 2007, 2008, and 2009 is MY2008. Table A-2 Light-Duty Vehicle Laboratory Fuel Economy and Truck Sales Fraction Year 1975 1976 1977 1978 1979 1980 1981 1982 1983 1984 1985 1986 1987 1988 1989 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 Actual Data 55/45 Fuel Economy Cars Trucks Both 15.8 17.5 18.3 19.9 20.3 23.5 25.1 26.0 25.9 26.3 27.0 27.9 28.1 28.6 28.1 27.8 28.0 27.6 28.2 28.0 28.3 28.3 28.4 28.5 28.2 28.2 28.4 28.6 28.9 28.9 29.5 29.2 30.3 30.6 32.1 32.7 13.7 14.4 15.6 15.2 14.7 18.6 20.1 20.5 20.9 20.5 20.6 21.4 21.6 21.2 20.9 20.7 21.3 20.8 21.0 20.8 20.5 20.8 20.6 20.9 20.5 20.8 20.6 20.6 20.9 20.8 21.4 21.8 22.1 22.7 23.8 23.8 15.3 16.7 17.7 18.6 18.7 22.5 24.1 24.7 24.6 24.6 25.0 25.7 25.9 25.9 25.4 25.2 25.4 24.9 25.1 24.6 24.7 24.8 24.5 24.5 24.1 24.3 24.2 24.1 24.3 24.0 24.8 25.2 25.8 26.3 28.2 28.3 Truck Production Fraction 0.194 0.212 0.200 0.227 0.222 0.165 0.173 0.197 0.223 0.239 0.254 0.283 0.278 0.298 0.307 0.302 0.322 0.334 0.360 0.404 0.380 0.400 0.424 0.449 0.449 0.449 0.461 0.485 0.496 0.520 0.495 0.471 0.471 0.473 0.398 0.411 Three-Year Moving Average 55/45 Fuel Economy Truck Cars Trucks Both Production Fraction 17.1 18.5 19.4 21.1 22.8 24.8 25.7 26.1 26.4 27.0 27.6 28.2 28.3 28.2 28.0 27.8 27.9 28.0 28.2 28.2 28.3 28.4 28.4 28.3 28.3 28.4 28.7 28.8 29.1 29.2 29.7 30.0 31.0 31.8 14.5 15.1 15.2 16.0 17.5 19.7 20.5 20.6 20.6 20.8 21.2 21.4 21.2 20.9 21.0 20.9 21.0 20.8 20.7 20.7 20.7 20.8 20.7 20.7 20.6 20.6 20.7 20.8 21.0 21.3 21.7 22.2 22.9 23.4 16.5 17.6 18.3 19.8 21.5 23.7 24.5 24.6 24.7 25.1 25.5 25.8 25.8 25.5 25.3 25.2 25.1 24.8 24.8 24.7 24.7 24.6 24.4 24.3 24.2 24.2 24.2 24.1 24.4 24.7 25.2 25.7 26.7 27.6 0.202 0.213 0.216 0.205 0.187 0.178 0.197 0.219 0.239 0.258 0.272 0.286 0.294 0.302 0.310 0.319 0.339 0.366 0.381 0.395 0.401 0.424 0.441 0.449 0.453 0.465 0.481 0.500 0.504 0.495 0.480 0.471 0.447 0.428 A-5 ------- Table A-2 (Continued) Light-Duty Vehicle Adjusted Fuel Economy Cars Model Year 1975 1976 1977 1978 1979 1980 1981 1982 1983 1984 1985 1986 1987 1988 1989 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 Actual Data CITY 12.3 13.7 14.4 15.5 15.9 18.3 19.6 20.1 19.9 20.2 20.7 21.2 21.2 21.4 20.9 20.5 20.5 20.0 20.3 20.0 20.0 19.8 19.8 19.7 19.4 19.3 19.4 19.4 19.5 19.3 19.6 19.4 20.1 20.3 21.3 HWY 15.2 16.6 17.4 19.1 19.2 22.6 24.2 25.5 25.5 26.0 26.8 27.6 27.7 28.2 27.9 27.5 27.6 27.5 27.9 27.7 28.1 28.0 28.0 28.0 27.5 27.3 27.3 27.2 27.5 27.4 27.6 27.5 28.3 28.5 29.7 COMP 13.5 14.9 15.6 16.9 17.2 20.0 21.4 22.2 22.1 22.4 23.0 23.7 23.8 24.1 23.7 23.3 23.4 23.1 23.5 23.3 23.4 23.3 23.4 23.4 23.0 22.9 23.0 23.1 23.2 23.1 23.5 23.3 24.1 24.3 25.4 Three-Year Moving Average CITY 13.4 14.5 15.3 16.5 17.8 19.3 19.8 20.1 20.3 20.7 21.0 21.3 21.2 20.9 20.6 20.3 20.2 20.1 20.1 19.9 19.9 19.8 19.6 19.5 19.3 19.4 19.4 19.4 19.4 19.4 19.7 19.9 20.6 21.1 HWY 16.3 17.6 18.5 20.2 21.8 24.1 25.1 25.7 26.1 26.8 27.4 27.8 27.9 27.8 27.7 27.5 27.6 27.7 27.9 27.9 28.0 28.0 27.8 27.6 27.4 27.3 27.3 27.4 27.5 27.5 27.8 28.1 28.9 29.4 COMP 14.6 15.8 16.6 18.0 19.4 21.2 21.9 22.2 22.5 23.0 23.5 23.9 23.9 23.7 23.5 23.3 23.3 23.3 23.4 23.3 23.4 23.4 23.2 23.1 23.0 23.0 23.1 23.2 23.3 23.3 23.6 23.9 24.6 25.1 2010 21.7 30.1 A-6 ------- Table A-2 (Continued) Light-Duty Vehicle Adjusted Fuel Economy Trucks Model Year 1977 1978 1979 1980 1981 1982 1983 1984 1985 1986 1987 1988 1989 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 Actual Data CITY 12.6 12.4 12.1 14.8 16.0 16.3 16.5 16.1 16.2 16.8 16.8 16.2 15.9 15.6 15.9 15.5 15.5 15.3 15.0 15.1 14.8 14.9 14.6 14.7 14.6 14.4 14.6 14.3 14.6 14.9 15.1 15.5 16.2 HWY 14.1 13.7 13.1 17.1 18.6 19.0 19.6 19.3 19.4 20.2 20.5 20.2 19.8 19.8 20.3 19.9 20.1 19.7 19.5 19.9 19.5 19.8 19.2 19.4 19.1 19.1 19.3 19.2 19.8 20.1 20.4 21.0 21.9 COMP 13.3 12.9 12.5 15.8 17.1 17.4 17.8 17.4 17.5 18.2 18.3 17.9 17.6 17.4 17.8 17.4 17.5 17.2 17.0 17.2 17.0 17.1 16.7 16.9 16.7 16.7 16.9 16.7 17.2 17.5 17.7 18.2 19.0 Three-Year Moving Average CITY 12.2 12.4 13.0 14.1 15.7 16.3 16.3 16.3 16.4 16.6 16.6 16.3 15.9 15.8 15.7 15.6 15.4 15.2 15.1 15.0 14.9 14.8 14.7 14.6 14.6 14.5 14.4 14.5 14.6 14.9 15.1 15.6 15.9 HWY 13.7 13.6 14.4 15.9 18.2 19.1 19.3 19.4 19.6 20.0 20.3 20.2 19.9 20.0 20.0 20.1 19.9 19.7 19.7 19.6 19.7 19.5 19.5 19.2 19.2 19.1 19.2 19.4 19.7 20.1 20.5 21.1 21.7 COMP 12.8 12.9 13.6 14.9 16.7 17.4 17.5 17.6 17.7 18.0 18.1 17.9 17.6 17.6 17.5 17.5 17.3 17.2 17.1 17.0 17.1 16.9 16.9 16.8 16.8 16.8 16.8 16.9 17.1 17.5 17.8 18.3 18.8 2010 16.2 22.0 19.1 A-7 ------- Table A-2 (Continued) Light-Duty Vehicle Adjusted Fuel Economy Cars and Trucks Model Year 1977 1978 1979 1980 1981 1982 1983 1984 1985 1986 1987 1988 1989 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 Actual Data CITY 14.0 14.7 14.9 17.6 18.8 19.2 19.0 19.1 19.3 19.8 19.8 19.6 19.1 18.7 18.8 18.2 18.2 17.8 17.7 17.6 17.4 17.2 16.9 16.9 16.8 16.6 16.7 16.3 16.8 17.0 17.3 17.7 18.9 HWY 16.6 17.5 17.4 21.5 23.0 23.9 23.9 24.0 24.4 25.0 25.3 25.2 24.8 24.6 24.7 24.4 24.4 23.8 24.1 24.0 23.6 23.6 23.0 23.0 22.8 22.5 22.7 22.4 23.1 23.4 23.9 24.4 26.0 COMP 15.1 15.8 15.9 19.2 20.5 21.1 21.0 21.0 21.3 21.8 22.0 21.9 21.4 21.2 21.2 20.8 20.9 20.4 20.5 20.4 20.1 20.1 19.7 19.8 19.6 19.4 19.6 19.3 19.9 20.1 20.6 21.0 22.4 Three-Year Moving Average CITY 13.9 14.5 15.6 16.9 18.5 19.0 19.1 19.1 19.4 19.6 19.7 19.5 19.1 18.9 18.6 18.4 18.1 17.9 17.7 17.6 17.4 17.1 17.0 16.9 16.8 16.7 16.6 16.6 16.7 17.0 17.3 18.0 18.5 HWY 16.6 17.2 18.6 20.3 22.8 23.6 23.9 24.1 24.5 24.9 25.2 25.1 24.9 24.7 24.6 24.5 24.2 24.1 24.0 23.9 23.7 23.4 23.2 23.0 22.8 22.7 22.6 22.7 23.0 23.5 23.9 24.8 25.5 COMP 15.0 15.6 16.8 18.3 20.2 20.8 21.0 21.1 21.4 21.7 21.9 21.7 21.5 21.3 21.1 21.0 20.7 20.6 20.4 20.3 20.2 20.0 19.8 19.7 19.6 19.5 19.4 19.6 19.8 20.2 20.6 21.3 22.0 2010 19.0 26.1 22.5 A-8 ------- Vehicle Classification Exceptions The truck size classification scheme used in this report is based primarily on published wheelbase data. For cars, vehicle classification as to vehicle type, size class, and manufacturer generally follows fuel economy label, Fuel Economy Guide, and fuel economy standards protocols; exceptions are listed in Table A-3. The classification of a vehicle for this report is based on the authors' engineering judgment and is not a replacement for definitions used in implementing automotive standards legislation. Table A-3 Manufacturer Chrysler: Chrysler: Chrysler: Chrysler: Chrysler: Chrysler: Chrysler: Chrysler: Chrysler: Make/Vehicles Colt 4WD Wagon* Colt Vista* Pacifica* PT Cruiser PT Cruiser Convertible* Summit Wagon* Dodge Ram Charger* Dodge Magnum* Eagle 4WD Wagon* Classified As: Small Wagon Small Van Large Wagon Small Wagon Subcompact Small Van Large Sedan Midsize Wagon Car Ford: Ford: GM: GM: GM: Nissan: Toyota: Toyota: VW: Other: Other: Other: Other: Other: Other: Other: Ford Pinto Van* Volvo V70 XC HHR Isuzu Oasis* Pontiac Vibe Infmiti EX35 Lexus RX300* Matrix Audi Allroad* Subaru Outback AWD Wagon Subaru Forester Subaru Baja* Suzuki X-90* Mitsubishi Expo* Mitsubishi Space Wagon* Mercedes R-Series Car Midsize Wagon Small Wagon Midsize Van Small Wagon Midsize SUV Midsize SUV Small Wagon Midsize Wagon Midsize Wagon Small SUV Small Pickup Small SUV Small Van Small Van Large Wagon * Not manufactured for MY 2010. A-9 ------- Methodology for Adjusted Fuel Economy Values for Model Years 1986-2010 On December 27, 2006, EPA published regulations that changed the methodology for calculating the city and highway fuel economy label estimates for new passenger cars and light trucks (71 Federal Register 77872). This revised methodology provides fuel economy estimates to consumers that better reflect real world fuel economy. The methodology incorporates test data that directly account for several important factors that affect fuel economy in the real world, such as high speeds, aggressive accelerations and decelerations, the use of air conditioning, and operation in cold temperatures, and indirectly account for a number of other factors that are not reflected in EPA laboratory test data such as changing fuel composition, road conditions, etc. These vehicle fuel economy label changes were implemented beginning with the 2008 model year. For model years 2008-2010, manufacturers have two options for calculating city and highway fuel economy labels: 1) use vehicle-specific "5-cycle" (Federal Test Procedure for urban stop-and-go driving, Highway Fuel Economy Test for rural driving, US06 test for high speeds and aggressive driving, SCO3 test for air conditioning operation, and cold FTP test for cold temperature operation) fuel economy test data in "composite" equations that calculate vehicle-specific city and highway fuel economy values using weighting factors for data from each of the 5 EPA test cycles, or 2) use an industry-average "mpg-based" method, which yields mpg-based adjustments based on a regression of recent 5-cycle fuel economy data for the industry as a whole. Beginning in 2011, manufacturers must use the 5-cycle method. For more details on the derivation of these options, the specific equations that allow an automaker to calculate new label values using either the vehicle-specific 5-cycle test data or the industry-average mpg-based approach, and the impact of these changes on average fuel economy label values, see the Preamble to the new regulations (71 Federal Register 77881-77893). Beginning with the 2007 Trends report, EPA has made significant changes in how adjusted (ADJ) fuel economy values for model years 1986 through 2010 are calculated to reflect the revised EPA fuel economy label methodology. These changes affect every table and figure in this report that involve adjusted fuel economy data. Accordingly, adjusted fuel economy values for 1986 and later model years should not be compared with the corresponding values from pre-2007 reports in this series. Specifically, the adjusted fuel economy values for 1986-2010 in this report differ from those in pre-2007 reports as explained below. • For model years 2005-2010, EPA calculates adjusted fuel economy values for most of the individual models in the fuel economy trends database using the following city and highway "mpg-based" equations from the EPA fuel economy labeling rulemaking: New ADJ CITY = 0.003259+ 1'1805 LAB CITY New ADJ HWY = , - .,, 0.001376+ L3466 LAB HWY A-10 ------- The above equations are not used if a manufacturer chooses the option of providing vehicle- specific 5-cycle test data for an individual model. In that case, the adjusted fuel economy values are calculated using equations with weighting factors for the data from the 5-cycle tests. For MY2010, manufacturers chose this option for a small number of individual models. Calculating fleetwide adjusted city and highway fuel economy values for a given model year requires a harmonic, production-weighted average of all of the adjusted city and highway fuel economy values for individual models. The above equations yield a greater downward adjustment for higher fuel economy vehicles than for lower fuel economy vehicles. For example, compared to the older fuel economy label methodology, a 15 mpg city value will be reduced by an additional 10%, while a 50 mpg city value will be reduced by an additional 18%. Likewise, a 20 mpg highway value will be reduced by an additional 7%, while a 50 mpg highway value will be reduced by an additional 11%. EPA projected an overall average fleetwide adjustment of 11% lower for city fuel economy and 8% lower for highway fuel economy, beyond that in the older label adjustment methodology that has been used in pre-2007 reports in this series. These factors can be used to convert older adjusted fuel economy values to the newer adjusted fuel economy values for the current fleet as a whole, but would not be appropriate factors to use for individual models or for a future fleet with different mpg characteristics. This report seldom uses separate city and highway fuel economy values, but typically uses the composite city/highway fuel economy value. Pre-2007 reports used a 55% city/45% highway weighting for adjusted composite fuel economy values, the same weighting used for laboratory composite values and for the CAFE compliance program. The analysis of real world driving activity underlying the newer fuel economy label methodology assumed a "speed cutpoint" of 45 miles per hour to differentiate between city and highway driving (71 Federal Register 77904). Based on this speed cutpoint, the correct weighting for correlating the new city and highway fuel economy values with real world driving, on a miles driven basis, is 43% city/57% highway. Accordingly, the 43% city/57% highway weighting is now used for all adjusted composite city/highway fuel economy values in this report beginning with the 2005 model year (note that the historic 55% city/45% highway weighting is still used for both CAFE compliance and fuel economy labels). The appropriate fleetwide factors to convert laboratory or older adjusted fuel economy values to the newer adjusted fuel economy values are dependent on the city fuel economy-to- highway fuel economy ratios in the fleet. On average, for the current fleet, combining the 11% lower adjustment for city fuel economy, the 8% lower adjustment for highway fuel economy, and the shift to the 43% city/57% highway weighting, the newer adjustment for city/highway composite fuel economy values is 6% lower than that used in the older label adjustment methodology. This 6% lower value is the average impact for a fleet with the mpg and city fuel economy-to-highway fuel economy characteristics of the current fleet, and would not be the appropriate value for individual models, partial fleet segments, or for future fleets with different mpg and city fuel economy-to-highway fuel economy distributions. • For model years 1986 through 2004, EPA calculates adjusted fuel economy values based on the assumption that the impacts of the factors that have led to lower real world fuel economy have occurred in a gradual (i.e., linear) manner over the 20 years from 1986 through 2005. A-ll ------- On April 6, 1984, EPA published regulations that established the older fuel economy label adjustment factors of 0.9 for city fuel economy and 0.78 for highway fuel economy that took effect for model year 1985 vehicles (49 Federal Register 13832). EPA believes that these adjustment factors were appropriate through the 1985 model year. EPA has not attempted to perform a year-by-year analysis to determine the extent to which the many relevant factors (including highway speed limits, more aggressive driving, vehicle horsepower-to-weight ratio, suburbanization, congestion, use of air conditioning, gasoline composition, et al) that have affected real world fuel economy since 1985 have changed over time. Rather, EPA has made the simplifying, but we think reasonable, assumption that the collective impact of these changes has been a linearly increasing impact over the 20 years from 1986 through 2005. Using the equations shown above for individual models, EPA has assumed 1/20 of the fully phased-in downward adjustment for city and highway values would be reflected in the 1986 data, 2/20 of this adjustment would be reflected in the 1987 data, etc., up to 19/20 of this adjustment in 2004 and the full adjustment in 2005 and later years. Likewise, EPA has assumed the 55/45 city/highway weighting changes to a 43/57 city/highway weighting in a linear fashion over the 1986 to 2005 time period as well. As discussed above, the average fleetwide composite city/highway fuel economy values for 2005-2010 are 6% lower than the composite city/highway fuel economy value calculated with the older adjustment factors. To generate precise adjusted city, highway, or composite fuel economy values for individual models or for future fleetwide averages with different mpg or city fuel economy-to-highway fuel economy ratios than the current fleet, it is essential to use the above equations to calculate adjusted city and highway fuel economy values for individual models, then use the 43% city/57% highway weighting to generate an adjusted composite fuel economy value for individual models, and then calculate the harmonically production-weighted average of the individual models to yield the average composite fuel economy for the fleet as a whole. Alternatively, for a first-order estimate of generic fleetwide factors that one could use to convert values from the historic fuel economy trends database to the newer adjusted fuel economy levels, see the factors in Table A-4, which are based on the mpg and city fuel economy-to- highway fuel economy characteristics of the current fleet. For example, the industry-wide adjusted composite city/highway fuel economy value for model year 1986 in this year's report, which will be reported as ADJ COMP, is about .997 (1.0 minus 0.003, where 0.003 equals 0.3%, and the latter is equal to 6% divided by 20) times the adjusted composite city/highway fuel economy value, or ADJ 55/45, from pre-2007 reports in this series. Likewise, the same industry-wide ADJ COMP value for 1986 can be approximated by multiplying the laboratory composite 55/45 value for 1986 by 0.851. The industry-wide ADJ COMP fuel economy values for model years 2005-2010 in this year's report are all equal to 0.80 times the laboratory composite 55/45 values. It is important to note that the above discussion, as well as all the data in this report, is focused on new model year vehicle fleets, i.e., the data for a MY2000 vehicle is most directly relevant for that vehicle operated on the road in calendar year 2000. Because most (though not all) of the real world factors reflected in this methodology are relatively independent of vehicle design, the best approximation of the adjusted fuel economy of a used MY2000 vehicle in calendar year 2010 would be to use the 2010 factors in Table A-4. Table A-5 provides a comparison of adjusted composite fuel economy values, for cars and trucks combined, using both the older fuel economy label methodology that has been used in pre-2007 reports in this series as well as the newer fuel economy label methodology described above and used in 2007 and later reports. A-12 ------- No changes have been made in the way EPA calculates adjusted fuel economy values for 1975- 1985. For these model years, EPA still uses the 0.9 city/0.78 highway fuel economy adjustments established in 1984, along with the 55% city/45% highway weighting factor. EPA believes that this methodology was appropriate for the late 1970s and early 1980s and is not making any changes to adjusted fuel economy values for 1975 through 1985. No changes have been made in the laboratory (LAB) fuel economy values in this report. The laboratory city value remains the fuel economy value over the EPA Federal Test Procedure, the laboratory highway value remains the fuel economy value over the EPA Highway Fuel Economy Test, and the laboratory 55/45 is a weighted value of these two tests, with a 55% weighting of the Federal Test Procedure and a 45% weighting of the Highway Fuel Economy Test. The laboratory 55/45 values are used for CAFE compliance, in conjunction with alternative fuel vehicle credits and test procedure adjustments. Because the underlying methodology for generating and reporting the laboratory fuel economy values have not changed since this series began in the mid-1970s, these values provide an excellent basis with which to compare long-term fuel economy trends from the perspective of vehicle design, apart from the factors that affect real world fuel economy that are reflected in the adjusted fuel economy values. Finally, this same methodology for including real world factors in the adjusted fuel economy values is also reflected in the adjusted carbon dioxide (CO2) emissions data as well. As discussed in Section IV, EPA back-calculated all CO2 emissions values in this report from corresponding fuel economy values in the historical Trends database. Accordingly, the adjusted CO2 emissions values explicitly account for the above methodology for 1986 and later model years. A-13 ------- Table A-4 Approximate Factors for Converting Industry-Wide Fuel Economy Values from Previous Reports to the New Fuel Economy Values in this 2010 Report 1975-1985 1986 1987 1998 1989 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 Factors to convert older ADJ to new ADJ CITY 1.000 0.995 0.989 0.984 0.978 0.973 0.967 0.962 0.956 0.951 0.945 0.940 0.934 0.929 0.923 0.918 0.912 0.907 0.901 0.896 0.890 0.890 0.890 0.890 0.890 0.890 HWY 1.000 0.996 0.992 0.988 0.984 0.980 0.976 0.972 0.968 0.964 0.960 0.956 0.952 0.948 0.944 0.940 0.936 0.932 0.928 0.924 0.920 0.920 0.920 0.920 0.920 0.920 55/45 1.000 0.997 0.994 0.991 0.988 0.985 0.982 0.979 0.976 0.973 0.970 0.967 0.964 0.961 0.958 0.955 0.952 0.949 0.946 0.943 0.940 0.940 0.940 0.940 0.940 0.940 Factors to convert LAB to new ADJ CITY 0.900 0.895 0.890 0.885 0.880 0.875 0.870 0.865 0.860 0.855 0.850 0.845 0.840 0.835 0.830 0.825 0.820 0.815 0.810 0.805 0.800 0.800 0.800 0.800 0.800 0.800 HWY 0.780 0.777 0.774 0.771 0.768 0.765 0.762 0.759 0.756 0.753 0.750 0.747 0.744 0.741 0.738 0.735 0.732 0.729 0.726 0.723 0.720 0.720 0.720 0.720 0.720 0.720 55/45 0.854 0.851 0.849 0.846 0.843 0.841 0.838 0.835 0.832 0.830 0.827 0.824 0.822 0.819 0.816 0.814 0.811 0.808 0.805 0.803 0.800 0.800 0.800 0.800 0.800 0.800 Important Notes for Table A-4: 1. Multiplying the factors above times the appropriate values from pre-2007 reports approximates the newer adjusted (ADJ) fuel economy values in this 2010 report. Also, these factors can be used "in reverse" to convert new adjusted fuel economy values in this report to corresponding old adjusted fuel economy values or to corresponding laboratory fuel economy values, e.g., dividing an adjusted, combined city/highway MY2010 fuel economy value in this report by .940 would yield a corresponding adjusted fuel economy value based on the methodology used in pre-2007 reports. 2. These factors are first-order approximations relevant only for industry-wide fuel economy values for the 1986 through 2010 timeframe. 3. Precise estimates for individual models require the use of the mpg-based equations for ADJ CITY and ADJ HWY provided above as well as a linear phase-in, over the 1986 to 2005 time period, for both the mpg-based equations and the change from a 55/45 city/highway weighting to a 43/57 city/highway weighting. 4. These approximations would yield the largest error for individual models or fleets with high mpg and/or high city fuel economy-to-highway fuel economy ratios. A-14 ------- Table A-5 Comparison of "Old" and "New" Adjusted Composite Fuel Economy Values, for Cars and Trucks Combined, for 2003-2010 Cars and Trucks Combined Model Year 2003 2004 2005 2006 2007 2008 2009 2010 "Old" Adjusted Composite 20.8 20.5 21.2 21.5 22.0 22.4 24.0 24.2 "New" Adjusted Composite 19.6 19.3 19.9 20.1 20.6 21.0 22.4 22.5 Important Notes for Table A-5: 1. "Old" adjusted composite fuel economy values are based on the EPA fuel economy label methodology used in previous reports in this series, i.e., 10% downward city adjustment, 22% downward highway adjustment, and a 55% city/45% highway weighting factor. 2. "New" adjusted composite fuel economy values are based on the new EPA fuel economy label methodology, applicable to MY2010 vehicles and used for the first time in the 2007 report and described in the previous section. 3. The "new" adjusted composite fuel economy values for cars and trucks combined are approximately 6% lower than the "old" adjusted composite fuel economy values for cars and trucks combined. For cars only, the "new" adjusted composite fuel economy values would be more than 6% lower than the "old" values, while for trucks only, the "new" adjusted composite fuel economy values would be less than 6% lower than the "old" values. A-15 ------- Comparison of EPA and NHTSA Data, 1975-2010 Table A-6 compares CAFE performance data reported by the National Highway Traffic Safety Administration ("Summary of Fuel Economy Performance" report dated April 20, 2010 and available at www.nhtsa.gov) with the adjusted and unadjusted (laboratory) composite fuel economy data in this report. The NHTSA values in Table A-6 are generally higher than the EPA laboratory values due to differences in alternative fuel credits, test procedure adjustment factors for cars, and vehicle classification. In recent years for which both Agencies report final data, the NHTSA values are typically 0.6-0.8 mpg higher than the EPA values. For MY2010, the preliminary NHTSA value is 0.9 mpg higher than the preliminary EPA value. These preliminary projections are based on different data sets. The EPA value is based on automaker submissions in the spring and summer of 2009 to support vehicle fuel economy labels. The NHTSA value is based on automaker estimates provided in pre-model year CAFE reports later in 2009. Final MY2010 results will be reported in next year's report. Table A-6 EPA Adjusted, Laboratory, and NHTSA CAFE Fuel Economy Values by Model Year Cars Trucks Both Cars and Trucks Model Year 1975 1976 1977 1978 1979 1980 1981 1982 1983 1984 1985 1986 1987 1988 1989 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 EPA Adj. 13.5 14.9 15.6 16.9 17.2 20.0 21.4 22.2 22.1 22.4 23.0 23.7 23.8 24.1 23.7 23.3 23.4 23.1 23.5 23.3 23.4 23.3 23.4 23.4 23.0 22.9 23.0 23.1 23.2 23.1 23.5 23.3 24.1 24.3 25.4 25.8 EPA Unadj. 15.8 17.5 18.3 19.9 20.3 23.5 25.1 26.0 25.9 26.3 27.0 27.9 28.1 28.6 28.1 27.8 28.0 27.6 28.2 28.0 28.3 28.3 28.4 28.5 28.2 28.2 28.4 28.6 28.9 28.9 29.5 29.2 30.3 30.5 32.1 32.7 NHTSA (CAFE) n/a n/a n/a 19.9 20.3 24.3 25.9 26.6 26.4 26.9 27.6 28.2 28.5 28.8 28.4 28.0 28.4 27.9 28.4 28.3 28.6 28.5 28.7 28.8 28.3 28.5 28.8 29.0 29.5 29.5 30.3 30.1 31.2 31.6 32.6 33.8 Diff. 0.0 0.0 0.8 0.8 0.6 0.5 0.6 0.6 0.3 0.4 0.2 0.3 0.2 0.4 0.3 0.2 0.3 0.3 0.2 0.3 0.3 0.1 0.3 0.4 0.4 0.6 0.6 0.8 0.9 0.9 1.1 0.5 1.1 EPA Adj. 11.6 12.2 13.3 12.9 12.5 15.8 17.1 17.4 17.8 17.4 17.5 18.2 18.3 17.9 17.6 17.4 17.8 17.4 17.5 17.2 17.0 17.2 17.0 17.1 16.7 16.9 16.7 16.7 16.9 16.7 17.2 17.5 17.7 18.2 19.0 19.1 EPA Unadj. 13.7 14.4 15.6 15.2 14.7 18.6 20.1 20.5 20.9 20.5 20.6 21.4 21.6 21.2 20.9 20.7 21.3 20.8 21.0 20.8 20.5 20.8 20.6 20.9 20.5 20.8 20.6 20.6 20.9 20.8 21.4 21.8 22.1 22.7 23.8 23.8 NHTSA (CAFE) n/a n/a n/a n/a 18.2 18.5 20.1 20.5 20.7 20.6 20.7 21.5 21.7 21.3 21.0 20.8 21.3 20.8 21.0 20.8 20.5 20.8 20.6 21.0 20.9 21.3 20.9 21.4 21.8 21.5 22.1 22.5 23.1 23.6 24.6 24.9 Diff. 3.5 -0.1 -0.2 0.1 0.1 0.1 0.1 0.1 0.1 0.1 0.1 0.4 0.5 0.3 0.8 0.9 0.7 0.7 0.7 1.0 0.9 0.8 1.1 EPA Adj. 13.1 14.2 15.1 15.8 15.9 19.2 20.5 21.1 21.0 21.0 21.3 21.8 22.0 21.9 21.4 21.2 21.2 20.8 20.9 20.4 20.5 20.4 20.1 20.1 19.7 19.8 19.6 19.4 19.6 19.3 19.9 20.1 20.6 21.0 22.4 22.5 EPA Unadj. 15.3 16.7 17.7 18.6 18.7 22.5 24.1 24.7 24.6 24.6 25.0 25.7 25.9 25.9 25.4 25.2 25.4 24.9 25.1 24.6 24.7 24.8 24.5 24.5 24.1 24.3 24.2 24.1 24.3 24.0 24.8 25.2 25.8 26.3 28.2 28.3 NHTSA (CAFE) n/a n/a n/a 19.9 20.1 23.1 24.6 25.1 24.8 25.0 25.4 25.9 26.2 26.0 25.6 25.4 25.6 25.1 25.2 24.7 24.9 24.9 24.6 24.7 24.5 24.8 24.5 24.7 25.1 24.6 25.4 25.8 26.6 27.1 28.8 29.2 Diff. 1.3 1.4 0.6 0.5 0.4 0.2 0.4 0.4 0.2 0.3 0.1 0.2 0.2 0.2 0.2 0.1 0.1 0.2 0.1 0.1 0.2 0.4 0.5 0.3 0.6 0.8 0.6 0.6 0.6 0.8 0.8 0.6 0.9 A-16 ------- Comparison of EPA and NHTSA Data for MY2008 by Manufacturer The primary differences between EPA unadjusted laboratory fuel economy data and NHTSA CAFE values are flexible fuel vehicle (FFV) credits that are available to manufacturers that produce vehicles capable of operation on an alternative fuel (generally a blend of 85 percent ethanol and 15 percent gasoline), and test procedure adjustment (TPA) credits that apply to manufacturers of passenger cars. Table A-7 shows a detailed MY2008 comparison, for the thirteen highest-volume manufacturers, of the EPA laboratory fuel economy values from this report and final NHTSA CAFE values based on the year end fuel economy report data provided to EPA and NHTSA by automakers (MY2008 is the last year for which NHTSA has published final CAFE values). This table shows how EPA laboratory values, FFV credits, and TPA credits "add up" to CAFE values. It is important to emphasize that while the values in Table A-7 approximately add up for most manufacturers, in some cases they do not add up precisely. The primary explanation for this is that there are slight differences in car and truck classifications between EPA and NHTSA, which can affect the individual car and truck comparisons, though not the combined car and truck values. In the most notable example, NHTSA classifies the Subaru Forester as a car and the Subaru Outback as a truck, while EPA takes the reverse position. Changing the classification of these two vehicles actually does not affect Subaru's car values, however it does lead to nearly a 1 mpg discrepancy between the truck EPA LAB and NHTSA CAFE values. In addition, rounding differences can lead to slight discrepancies in Table A-7. The manufacturer column in Table A-7 differs from the manufacturer columns elsewhere in this report in two ways in order to be consistent with the way NHTSA reports CAFE data for MY2008. The differences in Table A-7 are that GM includes Saab, and Ford includes Mazda (Table 28 gives different EPA laboratory fuel economy values for Ford excluding Mazda, while the inclusion of Saab does not change the GM values). The FFV credit values in Table A-7 for the truck column were obtained directly from EPA's fuel economy compliance program (trucks are not eligible for TPA credits). The FFV and TPA credits for the car columns were generated by weighting the values for domestic cars and import cars by the NHTSA sales for each car category (see cite below). The FFV and TPA credit values for the combined car and truck columns were generated using the car and truck sales from the NHTSA report. For MY2008, four manufacturers earned FFV credits for cars and four manufacturers did so for trucks. All thirteen manufacturers were eligible for the TPA credits for cars. All of the NHTSA CAFE values in Table A-7 were taken or generated from the April 20, 2010 NHTSA report "Summary of Fuel Economy Performance" available at www.nhtsa.gov. The car values were generated from the NHTSA fuel economy and production data for the separate domestic car and import car CAFE categories. The truck values were taken directly from the NHTSA report. The combined car and truck values were generated from the NHTSA fuel economy and production data for the separate domestic car, import car, and light truck CAFE categories. While there are no CAFE standards for combined cars and trucks, this column is shown for illustrative purposes. A-17 ------- Table A-7 Comparison of MY2008 EPA Laboratory and Final NHTSA CAFE Values by Manufacturer Passenger Car Light Truck Both Cars and Trucks IV! snufscturcr LAB General Motors /Saab 28.6 Toyota 36.0 Ford /Mazda 28.6 Honda 34.3 Chrysler 27.8 Nissan 32.2 Hyundai 33.8 Volkswagen 28.9 BMW 27.2 Kia 33.3 Daimler 25.3 Subaru 28.7 Mitsubishi 29.8 FFV Credit 1.1 0.0 0.9 0.0 0.9 0.0 0.0 0.0 0.0 0.0 1.2 0.0 0.0 TPA Credit 0.2 0.3 0.3 0.4 0.2 0.3 0.4 0.2 0.2 0.3 0.2 0.2 0.2 NHTSA CAFE 29.7 36.4 30.3 34.6 29.3 32.2 34.2 29.1 27.4 33.6 26.9 28.9 30.0 EPA LAB 21.6 23.9 22.4 25.5 22.4 22.0 25.6 20.2 22.9 24.2 20.8 26.4 24.2 FFV Credit 1.2 0.0 1.2 0.0 1.2 1.2 0.0 0.0 0.0 0.0 0.0 0.0 0.0 TPA Credit 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 NHTSA CAFE 23.2 23.9 23.6 25.5 23.6 23.1 25.6 20.2 22.9 24.2 20.8 27.3 24.7 EPA LAB 24.4 29.0 24.7 30.1 24.2 27.6 30.9 27.9 26.3 28.8 24.0 28.1 28.1 FFV Credit 1.2 0.0 1.1 0.0 1.1 0.7 0.0 0.0 0.0 0.0 0.8 0.0 0.0 TPA Credit 0.1 0.1 0.1 0.2 0.1 0.1 0.2 0.2 0.2 0.1 0.1 0.1 0.2 NHTSA CAFE 25.7 29.0 26.0 30.3 25.1 28.3 31.1 28.1 26.5 28.9 24.9 28.2 28.5 * Final MY2008 CAFE values are based on manufacturer reports to EPA and NHTSA summarized in "Summary of Fuel Economy Performance" dated April 20, 2010 and available at www.nhtsa.gov A-18 ------- |