New Fuel  Economy and  Environment
                     Labels for a New  Generation of
                     Vehicles
                     Why New Label Designs?
                     Building on the U.S. Environmental Protection Agency's 35'year history labeling
                     vehicles, the U.S. Department of Transportation joined with EPA today in unveiling
                     new fuel economy and environment labels that, for the first time ever, highlight the
                     increased efficiency standards achieved under the Obama Administration that will
                     save families money at the pump starting this year. The new labels, which are the
                     most dramatic overhaul in the history of EPA's labeling program, will provide more
                     comprehensive fuel efficiency information and five-year fuel costs or savings com'
                     pared to the average vehicle, as well as environmental impact information.

                     The new labels underscore the benefits of the historic, passenger car and light truck
                     fuel economy and greenhouse gas emissions rule adopted under this administration in
                     2010 by the EPA and DOT, working closely with a wide array of stakeholders. That
                     rule, which includes increased efficiency for vehicles in model year 2012 through
                     2016, will save 1.8 billion barrels of oil over the life of the program, while saving the
                     average consumer $3,000,

                     The redesigned Fuel Economy and Environment Labels will provide the public with
                     new information on vehicles' fuel economy, energy use, fuel costs, and environmental
                     impacts. For the first time, comparable fuel economy and environmental ratings will
                     be available for all new vehicles, including advanced technology vehicles such as
                     electric cars. Starting with model year 2013, the improved fuel economy labels will
                     be required to be affixed to all new passenger cars and trucks - both conventional
                     gasoline powered and "next generation" cars, such as plug-in hybrids and electric
                     vehicles. Automakers may also voluntarily adopt the new labels earlier for model
                     year 2012 vehicles.
SEPA
United States
Environmental Protection
Agency
Office of Transportation and Air Quality
                   EPA-420-F-11-017
                         May 2011

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Specific features on the new Fuel Economy and Environment Labels include:
    •   New ways to compare energy use and cost between new-technology cars that use elec-
       tricity and conventional cars that are gasoline-powered,
    •   Useful estimates on how much consumers will save or spend on fuel over the next five
       years compared to the average new vehicle,
    •   Easy-to-read ratings of how a model compares to all others for smog emissions and emis-
       sions of pollution that contribute to climate change,
    •   An estimate of how much fuel or electricity it takes to drive 100 miles,
    •   Information on the driving range and charging time of an electric vehicle,
    •   A QR Code® that will allow users of smartphones to access online information about how
       various models compare on fuel economy and other environmental and energy factors.

In addition, a new interactive tool at www.fueleconomy.gov will allow drivers to enter their zip
code and estimate the greenhouse gas emissions from charging and driving a plug-in hybrid or
electric car where they live. The site www.fueleconomy.gov also enables drivers of all types of
vehicles to enter personalized information like local gas prices along with individual driving
habits to get best possible cost and energy-use estimates,

EPA and NHTSA conducted extensive research to inform the development of this new label.
This includes reviewing input from an expert panel, focus groups, public hearings, and more
than 6000 public comments. For more information on how the new label were developed, see
www.epa.gov/otaq/carlabel/regulations.htm
What Information Will I See on the New Labels, and How Can It
Help Me?

Labels for gasoline and diesel vehicles (see figure 1):
    •  Fuel Economy: Miles per gallon (MPG) estimates. The combined City/Highway estimate
      is the most prominent to allow quick and easy comparison to other vehicles,
    •  Comparable Fuel Economy: Information to compare the vehicle's fuel economy to other
      vehicles in the same category (e.g., among all small SUVs) and to find out the highest
      fuel economy among all vehicles,
    •  Fuel Consumption Rate: The estimated rate of fuel consumption, in gallons per 100
      miles, for combined city and highway driving. Unlike MPG, consumption relates directly
      to the amount of fuel used, and thus to fuel expenditures,
    •  Fuel Economy and Greenhouse Gas Rating: One-to-ten rating comparing the vehicle's
      fuel economy and tailpipe carbon  dioxide (CO2) emissions to those of all other new
      vehicles, where a rating of 10 is best,
    •  CO2 Emissions Information: Tailpipe CO2 emissions in grams per mile for combined
      city and highway driving and the emissions of the vehicle with lowest CO, emissions,
    •  Smog rating: A one-to-ten rating based on exhaust emissions that contribute to air
      pollution,
    •  Fuel Costs: An estimate of how much more (or less) the vehicle will cost to fuel over
      five years relative to the average new vehicle, as well as its estimated annual fuel cost.

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      Web site URL: The web site, www.fueleconomy.gov, provides additional information
      and tools that allow consumers to compare different vehicles.
      Smartphone interactive tool: A symbol (also known as a QR Code®) that smartphones
      can read to reach a website that will provide additional and customizable information
      about the vehicle.
Figure 1. New Label - Gasoline Vehicles
nzi
       Fuel  Economy and Environment
                                                             Gasoline Vehicle
      Fuel Economy
 ft26
              MPG
Small SUVs range from 16 to 32 MPG.
The best vehicle rates 99 MPGe.
               22   32
combined city/hwy    city    highway
      3.8
           gallons per 100 miles
YOU save
$1,850
   in fuel costs
   over 5 years
   compared to the
   average new vehicle.
 Annual fuel COSt
    $2,150
                    Fuel Economy & Greenhouse Gas Rating naipipe only)   Smog Rating (tailpipe oniv
                                                                      Best
                         This, vehicle emits 347 grams CO; per mile. The best emits 0 grams per mile (tailpipe only). Producing and
                         distributing fuel also creates emissions; leam more at fueleconomy.gov.
 Actual results will vary for many reasons, including driving conditions and how you drive and maintain your
 vehicle. The average new vehicle gets 22 MPG and costs $12,600 to fuel over 5 years. Cost estimates are
 based on 15,000 miles per year at $3.70 per gallon. MPGe is miles per gasoline gallon equivalent. Vehicle
 emissions are a significant cause of climate change and smog.
 Calculate personalized estimates andcompare vehicles
Labels for advanced technology vehicles may contain additional information (see figures 2
and 3):
   •  Driving Range: Identifies how many miles EVs (electric vehicles), PHEVs (plug'in hybrid
      electric vehicles), FCVs (hydrogen fuel cell vehicles), and CNG (compressed natural gas)
      vehicles can go before recharging or refueling.1
   •  Charge Time: Identifies the amount of time it takes to charge EV and PHEV batteries.
   •  Different Modes: Some vehicles, such as PHEVs, may have two or more different oper-
      ating modes - such as all-electric, blended gas and electric, and gasoline-only. The labels
      will provide certain information for different operating modes.
   •  Fuel Economy: The label shows fuel economy for advanced technology vehicles in miles
      per gallon of gasoline-equivalent (MPGe). A gallon of gasoline-equivalent means the
      number of kilowatt-hours of electricity, cubic feet of CNG, or kilograms of hydrogen that
      is equal to the energy in a gallon of gasoline.
   •  Energy Consumption Measurement: Fuel consumption is expressed as a unit of fuel
      purchased (e.g., kilowatt-hours) per  100 miles.
  Vehicle manufacturers may voluntarily include E85 range information on the labels for ethanol flexible
  fuel vehicles.

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Figure 2.  New Label — Electric Vehicles
 EPA
Fuel Economy and Environment
                                                                       Electric Vehicle
      Fuel Economy

      99
      combined city/hwy   city
      Driving Range
             R/I P/"* A Midsize cars range from 10 to 99 MPGe.
                       The best vehicle rates 99 MPGe-
              103  95     34
                     highway    kW-hrsper
                              100 miles
       When fully charged, vehicle can travel about.
      0       20       40      60
      Charge Time: 8 hours (240V)
                                  99
                                      miles
                                                       YOU save

                                                       $9,600
                                                           in fuel costs
                                                           over 5 years
                                                           compared to the
                                                           average new vehicle.
 Annual fuel COSt
       $600
                   Fuel Economy & Greenhouse Gas Rating ftspppe only)  Smog Rating tta»piPe only
                                                     Best
                                                                        Best
                           This vehicle emits 0 grams CO, per mife.The best emits 0 grams per mile (tailpipe onlyf. Does not include
                           emissions from generating electricity; learn more at fueleconomy.gov.
 Actual results will vary for many reasons, including driving conditions and how you drive and maintain
 your vehicle. The average new vehicle gets 22 MPG and costs $12,600 to fuel over 5 years. Cost estimates
 are based on 15,000 miles per year at $0.12 per kW-hr. MPGe is miles per gasoline gallon equivalent. Vehicle
 emissions are a significant cause of climate change and smog.
 Calculate personalized estimates andcompare vehicles
Figure 3.  New Label — Plug-In Hybrid Vehicles2
  Fuel Economy  Midsize cars range from 10 to 99 MPGe. The best vehicle rates 99 MPGe.
Electricity
ChargeTime: 4 hours (240V)

*98"°

                   kW-hrsper
                   100 miles
      combined city/highway
                          Gasoline Only
                                         MPG
                                          2.6
            gallons per
            100 miles
combined city.'highway	
  Driving Range
  | All electric range
                 20
                        30
                                 40
                                           410
                                                                 Plug-In Hybrid Vehicle
                                                                   Electricity-Gasoline
                                                          YOU
                                                  $8,100
                                                      in fuel costs
                                                      over 5 years
                                                      compared to the
                                                      average new vehicle.
 Annual fuel COSt
       $900
                   Fuel Economy & Greenhouse Gas Rating (wipipe oniyi  Smog Rating (tailpipe only
                                                     Best
                                                                        Best
                          This vehicle emits 84 grams CO., per mile. The best emits 0 grams per mile (tailpipe only). Producing and
                          distributing fuel fit electncity also create emissions; learn more at fueleconomy.gov.
 Actual results will vary for many reasons, including driving conditions and how you drive and maintain your
 vehicle. The average new vehicle gets 22 MPG and costs $12,600 to fuel over 5 years. Cost estimates are based
 on 15,000 miles per year at $3.70 per gallon and $0.12 per k W-hr. This is a dual fueled automobile. MPGe is
 miles per gasoline gallon equivalent. Vehicle emissions are a significant cause of climate change and smog.
 Calculate personalized estimates andcompare vehicles
2  Label shown is for a PHEV that operates solely on electricity until the battery is depleted and then on
gasoline. To see an example label for the other type of PHEV, see
www.epa.gov/otaq/carlabel/basicinformation.htm.

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Why Include all this Information on Advanced Technology Vehicles?
In the past, more than 99 percent of all new vehicles have operated on petroleum fuels (e.g.,
gasoline, diesel, or a mostly-petroleum-based fuel blend) and the fuel economy labels of the past
were designed for vehicles using these conventional fuels. The automotive market is increasingly
offering consumers advanced technology vehicles that run on alternate energy sources. New
labels are now required that allow consumers to easily compare all types of vehicles, including
the following advanced technology cars:

    •   Electric Vehicles (EVs)
    For electric vehicles,  which operate solely on electricity, the labels include both kilowatt-
    hours per 100 miles and miles per gallon of gasoline-equivalent (electricity consumption
    translated into mpg on an energy-equivalence basis). The use of kilo watt-hours reflects the
    way in which electricity is sold, similar to the information given on a utility bill.  In this
    case, a lower number is better. Miles per gallon of gasoline-equivalent converts kilowatt-
    hours of electricity into gallons of gasoline (based on 33.7 kilowatt-hours per gallon), and
    reflects the more familiar mpg-type approach for a fuel that is very different from gasoline.
    In this case, a higher  number is better.

    The labels also show  how far EVs can travel on a fully-charged battery and how long it takes
    to charge the battery from a dedicated 240 V outlet (i.e., the type often used for an electric
    dryer), or a standard  120 V wall outlet, depending on what the charging capability of the
    vehicle is,

    The GHG emissions  estimates and ratings shown on the label are tailpipe-only emissions.
    This means that the carbon dioxide emissions on EV labels will be zero, given that all of the
    CO2 emissions associated with EV operation occur at the power plant and  other upstream
    sources. The web site www.fueleconomy.gov features a tool that allows interested consumers
    to estimate the GHG emissions associated with charging an EVs battery in their region of
    the country,

    •   Plug-in Hybrid Electric Vehicles (PHEVs)
       PHEVs can run on:
          1. batteries, charged from the electric grid,  and electric motors;
          2. a combination of both gasoline and  plug-in electric operation; and
          3. gasoline only, like  a conventional hybrid vehicle.

    Depending on how they are designed, PHEVs can operate in two or three of these operat-
    ing modes. Because of these design choices, PHEVs are the most complex technology for a
    vehicle label.

    For PHEVs, the agencies' goal was to provide as much information as possible about each
    operating mode (all-electric, blended, and gasoline- only). This allows consumers to tailor
    the information about each operating mode to their own driving habits. Because there are
    multiple operating modes, the agencies chose to eliminate some information found on the
    labels for other technologies to keep the label readable.

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   For example, the labels show only the combined MPG or MPGe for each mode rather than
   also including city and highway fuel economy estimates. The agencies also chose to provide
   a single overall value for other parameters, such as tailpipe CO2 emissions, 5-year fuel savings,
   annual fuel cost, and the various overall ratings rather than values for each operating mode.
   To calculate these values, the agencies considered the relative operation on electricity versus
   on gasoline for the typical driver,

   •   Other Vehicle Technologies
   The labels for other technologies, such as FFVs (flexible fuel vehicles), hydrogen FCVs
   (hydrogen fuel cell vehicles), and CNG (compressed natural gas) vehicles, are based on
   refinements to gasoline and diesel vehicle labels.

   To view the label designs for these other vehicle types, please visit our website at:
   www.epa.gov/otaq/carlabel/basicinformation.htm
How do the Labels Help Me Save Fuel Costs and Reduce Consumption?
Saving Fuel Cost
The new labels show the calculated fuel cost over a five-year period for the vehicle compared to
the average new vehicle. If the vehicle would save the consumer money over the average vehicle,
the label would state, "You save $x,xxx in fuel costs over 5 years compared to the average new
vehicle." If the vehicle would be more expensive to operate than the average vehicle, the label
would state, "You spend $x,xxx more in fuel costs over 5 years compared to the average new
vehicle." These estimates are based on 15,000 miles per year, for five years, and a projected gaso-
line (or diesel) price for the year from the U.S. Energy Information Administration.3 Fuel prices
will typically be updated annually in coordination with the Department of Energy,

The label also  shows the estimated annual fuel cost for the vehicle as required under the Energy
Policy and Conservation Act.  This estimated cost is based on 15,000 miles per year and the
projected fuel price for the year,

Reducing Fuel Consumption
While a miles per gallon (MPG) estimate is a required feature that has appeared on the fuel
economy label for several decades, this metric can be potentially misleading when consumers
compare  fuel economy improvements, particularly when they use it in place of fuel costs. The
following chart shows the non-linear relationship between gallons used over a given distance
and miles per gallon. The fuel savings, in gallons, for a vehicle that gets 10 MPG versus a ve-
hicle that gets  15 MPG is about 33 gallons (assuming 1000 miles). On the other hand, the fuel
savings in gallons, for the same 5 MPG fuel economy jump, for a 30 MPG versus a 35 MPG
vehicle is only about 5 gallons (see figure 4).
3  Fuel cost assumptions for other fuels such as electricity, CNG, or hydrogen will be selected in coordination
with the Department of Energy.

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Figure 4. Demonstration of the "MPG illusion."

                            Illustration of "MPG Illusion"
                   10
                           15      20      25      30
                                   Miles per Gallon
                                                        35
                                                               40
                                                                      45
                                                                              50
This "MPG illusion" demonstrates why it may be more meaningful to express fuel efficiency in
terms of consumption (e.g., gallons per mile or per 100 miles) rather than in terms of economy
(miles per gallon). A fuel consumption metric allows for more accurate energy usage compari'
sons among vehicles.

The revised label includes both fuel economy and consumption information for all vehicle
types.
What Do the Labels Tell Us about Reducing Greenhouse Gas Pollution?
The new label assigns each vehicle a rating from 1 (worst) to 10 (best) for fuel economy and
greenhouse gas emissions (i.e., how much carbon dioxide the vehicle's tailpipe emits each mile),
as shown in Figure 5.4 Consumers may note that higher fuel economy is associated with a better
GHG emissions profile.

For more information on this rating system, see www.epa.gov/otaq/carlabel/regulations.htm.
4  There are two ratings that apply to each vehicle -- one for fuel economy and one for greenhouse gas emis-
sions -- but in practice most vehicles will display only one rating. This is because carbon dioxide emissions
are directly related to the amount of fuel consumed. This relationship varies from fuel to fuel, but both rating
systems are based on gasoline vehicles, meaning that gasoline vehicles get the same rating for fuel economy
and for greenhouse gas emissions. In cases where the fuel economy performance and greenhouse gas emis-
sions do not yield the same rating, the rating bar will display two pointers.

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Figure 5.  One-to-ten Fuel Economy and GHG Rating
Rating
10
9
8
7
6
5
4
3
2
1
MPG
38 +
31-37
27-30
23-26
22
19-21
17-18
15-16
13-14
<12
C02(g/mile)
<236
237-290
291-334
335-394
395-412
413-479
480-538
539-612
613-710
711+
For those vehicles that only run on electricity, the tailpipe emissions are zero. Of course, these
vehicles do cause emissions at the electric power plant, with amounts varying greatly based on
the source of electricity (such as coal, nuclear, natural gas, hydro, or wind). Consumers can use
a calculator tool on the web site, www.fueleconomy.gov, to estimate GHG emissions associated
with an EV or PHEV, including emissions from the production and distribution of the electricity
used to charge the vehicle in their region of the country.
Will the Labels Give Information on Other Pollutants?
The labels also include a rating for those pollutants that cause smog and other local air pollu-
tion. This information, listed as "Smog" on the labels, will be displayed using a slider bar with
a scale of 1 (worst) to 10 (best). The scale is based on U.S. vehicle emissions standards, which
incorporate specific thresholds for nitrogen oxides, non-methane organic gas, carbon monoxide,
particulate matter, and formaldehyde emissions.
When Will We See the New Labels?
Consumers will see the new fuel economy and environment label on all new cars and light
trucks in dealer showrooms starting with model year 2013 vehicles. Manufacturers may volun-
tarily adopt the label for some or all of their 2012 model year vehicles.

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u
o
           For More Information
           You can access the rule and related documents on EPA's Office of Transportation and Air
           Quality (OTAQ) web site at:

                     www.epa.gov/otaq/carlabel/regulations.htm

           To view the label designs for all vehicle types, please visit our website at:

                     www.epa.gov/otaq/carlabel/basicinformation.htm

           Consumer information and tools associated with the new labels will be available at:

                     www. fue leconomy. go v

           For additional information on this rule, please email: newlabels@epa.gov

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