's Fuel  Economy Programs
                       Fuel economy, or gas mileage, continues to be a major area of
                       public and policy interest for several reasons. Passenger vehicles
                    account for approximately 40 percent of all U.S. oil consumption,
                    so increasing energy efficiency helps reduce our dependence on
                    imported oil and enhances the nation's energy security. Likewise, it
                    helps conserve our fossil resources for future generations. Passenger
                    vehicles also contribute about 20 percent  of all U.S. carbon dioxide
                    emissions, so increasing fuel efficiency helps reduce greenhouse gas
                    emissions. Finally, the more miles a car gets per gallon of gasoline,
                    the more money the owner saves on fuel costs. Given the importance
                    of fuel economy, the federal government administers three programs
                    to provide information to consumers about fuel economy and to
                    encourage the production of fuel efficient vehicles.
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     Fuel Economy Labels and Fuel Economy Guide
     Once a year, EPA and DOE publish the Fuel Economy Guide listing the fuel econ-
     omy estimates (expressed in miles per gallon) of new passenger vehicles. The Fuel
     Economy Guide is based on EPA's data and is published and distributed by DOE. The
     fuel economy estimates listed in the guide are based on laboratory testing performed
     by the auto manufacturers and EPA. EPA and the National Highway Traffic Safety
     Administration are revising the fuel economy label that appears on new vehicles
     beginning with 2012 models. The updated label will provide new information to
     consumers about the fuel economy and consumption, fuel costs, and environmental
     impacts (tailpipe emissions) associated with the operation of new cars and light-duty
     trucks. The updated label will also be applicable to advanced technology vehicles,
     including electric vehicles and plug-in hybrid electric vehicles, poised to enter the
     U.S. market. For more information on the proposed labels, visit:
     www.epa.gov/fueleconomy/label.htm.
SEPA
United States
Environmental Protection
Agency
Office of Transportation and Air Quality
                  EPA-420-F-10-055
                   November 2010

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             What Vehicles Are Tested?
             Not every vehicle is tested for fuel economy. Instead, manufacturers are required to split each
             model into smaller groups, based upon the various options available that can impact fuel econ-
             omy (such as vehicle weight, transmission type and engine size). A vehicle from each of these
             groups with the highest projected sales must be tested. Fuel economy requirements apply to
             all passenger cars and light trucks with a gross vehicle weight rating (GVWR) less than 8,500
             pounds, and also to sport-utility vehicles and some passenger vans from 8,500 to 10,000 pounds
             gross vehicle weight starting with the 2011 model year. Pickup trucks,cargo vans, and large
             passenger vans above  8,500 pounds gross vehicle weight continue to be excluded from the fuel
             economy requirements.

             Manufacturers test all the vehicles at their laboratories. EPA confirms about 10-15 percent of
             the vehicles at its National Vehicles and Fuel Emission Laboratory in Ann Arbor, Michigan,
             How a re Vehicles Tested?
             Vehicles are driven over identical driving patterns by professional drivers in controlled labora-
             tory conditions on a dynamometer, which is like a treadmill for cars. The conditions that occur
             during driving, such as wind drag and inertia are accounted for on the dynamometer. Prior to
             2008 model year vehicles, there were two types of tests that were conducted to determine the
             city and highway estimates: The city test and the highway test. Beginning with 2008 model year
             vehicles, data from five different tests are used to determine these estimates: FTP test, Highway
             test, High Speed test, Air Conditioning test and Cold Temperature test. A description of the
             details of these five tests is in the table below. The key elements of each test is shown in bold:
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Driving
Schedule
Attributes
Trip Type
Top Speed
Average Speed
Max. Acceleration
Simulated Distance
Time
Stops
Idling time
Engine Startup*
Lab temperature
Vehicle air conditioning
Test Schedule
City
Low speeds
in stop-and-
go urban
traffic
56 mph
20 mph
3.3 mph/sec
11 mi.
31 min.
23
18% of time
Cold
Highway
Free-flow
traffic at
highway
speeds
60 mph
48 mph
3.2 mph/sec
10 mi.
12.5 min.
None
None
Warm
High Speed
Higher speeds;
harder
acceleration &
braking
80 mph
48 mph
8.46 mph/sec
8 mi.
10 min.
4
7% of time
Warm
68-86°F
Off
Off
Off
AC
AC use under
hot ambient
conditions
54.8 mph
22 mph
5.1 mph/sec
3.6 mi.
9.9 min.
5
19% of time
Warm
95°F
On
Cold Temp
City test w/
colder outside
temperature
56 mph
20 mph
3.3 mph/sec
11 mi.
31 min.
23
18% of time
Cold
20°F
Off
* A vehicle's engine doesn't reach maximum fuel efficiency until it is warm.

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             How Are the Label Estimates Calculated?
             Fuel economy estimates are calculated from the emissions generated during the tests using a
             carbon balance equation. We know how much carbon is in the fuel, so by precisely measuring
             the carbon compounds expelled in the exhaust we can calculate the fuel economy.

             For pre-2008 model year vehicles, the city and highway tests were used to determine city and
             highway fuel economy, respectively. The results of the tests were adjusted downward to account
             for typical road conditions that can affect fuel economy, such as higher speeds, cold temperature,
             and use of air conditioning. The city results were adjusted downward by 10 percent, and the
             highway results by 22 percent.

             For 2008 and later model year vehicles,  the fuel economy label estimates  are determined by
             either performing the entire set of five tests on the test vehicle, and using that data to calculate
             city and highway estimates, or by applying mathematical equations to the basic data from the
             city and highway tests to derive estimates that simulate the effects of all five test cycles. Use
             of this latter streamlined option is allowed in cases where both methods are shown to yield
             substantially identical results.

             Combined fuel economy is determined by weighting the city fuel economy at  55 percent and
             the highway fuel economy at 45 percent using the following equation:

             FEcombined = 1 / (( .55 / city FE) + (.45 / hwy FE))
             What Information Is in The Fuel Economy Guide and on The Fuel
             Economy Label?
             The city and highway fuel economy estimates are printed in the Fuel Economy Guide and
             posted on the window sticker labels of all new cars and light trucks. Also included on the labels
             and in the Guide are the estimated annual fuel costs as determined from the combined city and
             highway fuel economy, assuming 15,000 miles traveled per year and using fuel price projections
             obtained from the Department of Energy,

^^N        The fuel prices are determined in advance of each model year to allow time for printing labels
>^^        and the Fuel Economy Guide. For more recent annual fuel cost estimates using current fuel
             prices, visit: www.fueleconomy.gov. The Fuel Economy Guide is published and distributed to
             dealerships across the United States. New car dealers are required to have copies of the Guide
             available to consumers. The Guide is also available online at: www.fueleconomy.gov.

             Beginning with 2008 model year vehicles, EPA has redesigned the fuel economy label to better
             present the fuel economy information to consumers who are shopping at dealers' lots. Improved
             features include more details about how annual fuel costs are estimated, an easy-to-understand
             graph showing how the fuel economy for that vehicle compares to all others within its class, and
             a web link to go to for further information.

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             Corporate Average Fuel Economy (CAFE)
             Corporate Average Fuel Economy (CAFE) is the required average fuel economy for a vehicle
             manufacturer's entire fleet of passenger cars and light trucks manufactured for sale in the United
             States for each model year. There are separate average fuel economy standards for passenger cars
             and light trucks. Light trucks include those with a gross vehicle weight rating (GVWR) of 8,500
             pounds or less. CAFE values are obtained using the same test data generated by the fuel economy
             tests used to determine the fuel economy estimates for the Guide and labels, but the test results
             are not adjusted to account for real-world conditions. Instead, the results from the city and high-
             way tests are combined. EPA administers the testing program which generates the fuel economy
             data and determines the procedures for calculating the fuel economy values for CAFE. The Na-
             tional Highway Traffic and Safety Administration (NHTSA), which is part of DOT, is respon-
             sible for establishing and amending the CAFE standards for cars and light trucks. EPA reports
             the CAFE results for each manufacturer to NHTSA annually, and NHTSA determines if the
             manufacturers comply with the CAFE standards and assesses penalties as required. View more
             information about CAFE standards on NHTSA's Web site at: www.nhtsa.gov/fuel-economy,

             EPA and NHSTA recently announced the next steps towards reducing greenhouse gas emissions
             and fuel use from cars and light trucks following the successful rulemaking for the first phase of
             the National Program for GHG emissions and fuel economy standards for model years 2012-
             2016 vehicles. The proposal would establish new more stringent standards for the 2017 through
             2025 model years. View more information about the new standards on EPA's  Web site at:
             www.epa.gov/otaq/climate/regulations.htm.
Green Vehicle Guide
Every year since 2000, EPA publishes emissions information for the new model year cars and
light trucks on its Green Vehicle Guide Web site at: www.epa.gov/greenvehicles. This user-
friendly site is designed to help consumers identify the cleanest, most efficient vehicle that
meets their needs. It provides consumers with the opportunity to compare the relative emissions
performance of vehicles by means of the 0-10 emissions rating assigned to each vehicle. Vehicles
rated higher than others are designed to emit fewer pollutants such as carbon monoxide, nitrogen
oxides, hydrocarbons and particulate matter. Vehicles can be viewed individually or by class,
such as SUVs,  sedans, or pickups.

The emissions  ratings are based on the EPA emission standards the vehicle was certified to meet.
Because manufacturers can choose from a complex set of emission standards, it is not always easy
to understand them. The Green Vehicle Guide "demystifies" these standards, and allows con-
sumers to see that they may have a choice to buy a cleaner, more efficient vehicle, regardless of
the size, type or style they are interested in.

The Green Vehicle Guide also identifies the cleanest, most fuel efficient vehicles with a
"SmartWay" logo. View more information about SmartWay vehicles at: epa.gov/greenvehicles/
aboutratings.do#aboutsmartway.

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             Gas Guzzler Tax
             The Gas Guzzler Tax is imposed on manufacturers of new model year cars (not minivans, sport
             utility vehicles or pick-up trucks) that fail to meet the minimum fuel economy level of 22.5
             mpg. The tax is intended to discourage the production and purchase of fuel inefficient vehicles.
             The fuel economy figures used to determine the tax are based on combined city and highway
             fuel economy that is unadjusted for real-world conditions, and thus is different from the fuel
             economy estimates provided in the Fuel Economy Guide. The tax is collected by the Internal
             Revenue Service and normally paid by the manufacturer or importer after production has ended
             for the model year and is based on the total number of gas guzzler vehicles which were intro-
             duced into commerce in the United States. The amount of the tax paid is displayed on the
             vehicle's fuel economy label (the window sticker on new cars). View more information about
             the Gas Guzzler Tax at: epa.gov/fueleconomy/guzzler/index.htm.
For More Information
You can access additional information about these programs at the following:

   •   Information on EPA's Fuel Economy Program, including regulations, test data, and
       consumer tips at:

          www.epa.gov/fueleconomy/index.htm

   •   Information on vehicle fuel economy, advanced technology, and possible tax incentives,
       including a downloadable version of the Fuel Economy Guide at:

          www. fue leconomy. go v

   •   Information on CAFE, including CAFE standards, NHTSA's annual report summarizing
       the fuel economy performance of the current fleet, rulemaking activities, and  fines
       collected at:

          www.nhtsa.dot.gov

   •   The IRS's Gas Guzzler Tax  form (IRS Form 6197) at:

          www. irs. gov/pub/ir s -pdf/f619 7. pdf

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