Detroit's Death Wish Comes Roaring Back as Trump Vows to Lower Emission Standards
The oil industry and its "deep state" allies in the Trump administration have lured U.S. auto companies into a potentially fatal political trap, chumming Detroit by tapping into the deeply embedded penchant of the Big Three for chasing short-term market trends at the expense of long term value.
Excited by the arrival of a Big Oil ally, Scott Pruitt, to head the U.S. Environmental Protection Agency (EPA), the auto industry asked the Trump administration to undo the recent Obama Administration rule locking long term, reliable standards for emissions and fuel economy. The industry argued that the standards, which it agreed to back in 2009 as part of the auto bail-out, were now too onerous because consumers were shifting to buy SUV's again with lower oil prices. The argument is utterly bogus. The 2009 rules set separate, if ambitious, standards for each size class of vehicle, so while more SUV sales do drive up average emissions and oil consumption, they do not require the companies to make a single vehicle to a higher standard than they agreed to.
What's really at stake here is the pace of vehicle electrification. Meeting the 2009 standards for each vehicle class was always dependent on a significant portion of those vehicles being zero-emission electric drive. That's an existential threat to the oil industry—and in many ways to Detroit's dealers, who make most of their money repairing the drive trains of internal combustion cars. Electric drive vehicles (EV) have a fraction of the maintenance costs of gas or diesel.
But a rapid deployment of electric drive cars is vital to the long term global viability of automobile manufacturers. Whatever happens in the U.S., global auto markets are going electric and the Big Three need a major U.S. EV market to compete in the 21st century.
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A few days before the Trump administration announced that—surprise, surprise—it was giving the auto industry everything it had asked for and more, not only waiving the post 2022 economy standards but also seeking to strip California of its historic right to set its own vehicle emissions rules, I attended a high level strategy session in New Delhi devoted to the future of India's auto fleet. If Detroit had been listening it might have realized the folly of resuming its servile junior partner status with oil.
The message could not have been clearer. Minister after Minister—roads, industry, rail, urban development—proclaimed India's urgent need for "transportation without oil." The government of India's top planners made clear that they were uniformly committed to an all electric vehicle economy by 2030, a step which would dry up the oil industry's biggest remaining growth target. It would also shut off the world's fastest growing automotive market to U.S. manufacturers if they continue to rely on internal combustion engines.
India's domestic ride-hailing service, Ola, announced a partnership with Indian auto maker Mahindra to test electric taxis. The government indicated it would suspend the permit process for electric vehicles, as the City of Beijing has already done, giving electric car ownership a big boost. Toyota boasted that 46 percent of the Camry's sold in India are already hybrids or electrics. The electric drive train has already left the station. With China already far down the electric vehicle pathway, Europe being forced onto it by air pollution problems and India trying to leap-frog both, an auto industry that continues to rely on 20th century technology will rapidly become a 20th century relic.
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Why would U.S. auto companies, like General Motors with its big—and bold—bet on the ground-breaking electric Bolt, give up the level playing field and predictability which the 2022 emission and economy rules had given them in 2009? Just as Trump was signaling that he will ease the requirements, Rob Threlkeld, global manager of renewable energy for General Motors, said the automaker is pushing to source all of its power from clean sources by 2050 because that's what consumers want. Why would manufacturers choose a strategic pathway so clearly at odds with where world auto markets are going?
Why would they pick such a big fight with their biggest domestic market. California, joined as it is by a bevy of other states seeking cleaner and cheaper transportation options? Well, dealership pressure is one reason. Dealers hate EV's, because they don't break down and don't fatten their service departments. Another is that the auto industry's lobbying apparatus thrives on the message, "the government is out to hurt you. Fight back!" (After all, if Government Affairs departments concede the reality that government regulations have been, net, good for the industry, keeping it competitive with the German and Japanese manufacturers, what's the argument for fat lobbying budgets?)
From 2004 to 2008, as oil prices soared, Detroit clung to its SUV dependent business model, pronouncing that gasoline prices could never reach the $2.50 mark at which customers starting seeking fuel economy. When that marker was crossed in 2006, Chrysler and GM headed for bankruptcy, Ford for massive debt and value loss and the U.S. industry almost went away except for the Obama administration rescue.
Now, just as happened in that era, the auto industry is once again barreling towards long-term bankruptcy for short-term relaxation of standards. What can rescue Detroit from its own death wish?
Primarily California and its allied states, (Connecticut, Maine, Maryland, Massachusetts, New Jersey, New York, Oregon, Rhode Island and Vermont), which have adopted their own version of the 2022 fuel efficiency rules and an electric vehicle mandate to go with it. Representing 30 percent of the U.S. auto market, these states alone can drive Detroit to remain competitive in the electric drive segment. While the Trump administration appears ready to deny California the waiver which enables it to maintain its own rules, there will be a major legal battle in the courts over whether the federal government can revoke a waiver once it has been issued. And even if, in the short turn, the Trump administration prevails, California and its allies can make clear that once political attitudes in Washington change, as they always do, that the next round of economy and emissions standards will be much, much tougher than those Detroit is seeking to weaken today. The 2022 rules were very much a compromise—and with foreign manufacturers racing to electrify, California holds a much stronger long term hand than Detroit.
So what the auto companies and auto workers and auto communities, all ought to be praying for is that the Trump administration's ploy to reinforce Detroit's dependence on oil fails—because the courts uphold state's rights and California's ability to insist that the auto industry remain globally competitive.
After ongoing pressure from environmental groups and Indigenous communities, Bank of America has said it will not finance any oil and gas exploration in the Arctic, making it the last major U.S. financial institution to do so.
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By Astrid Caldas
As we reach the official end of hurricane season, 2020 will be one for the record books. Looking back at these long, surprising, sometimes downright crazy past six months (seven if you count when the first named storms actually started forming), there are many noteworthy statistics and patterns that drive home the significance of this hurricane season, and the ways climate change may have contributed to it.
A summary infographic showing hurricane season probability and numbers of named storms predicted from NOAA's 2020 Atlantic Hurricane Season Outlook. NOAA
The updated 2020 Atlantic hurricane season probability and numbers of named storms. NOAA
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By Dana Drugmand
An unprecedented climate lawsuit brought by six Portuguese youths is to be fast-tracked at Europe's highest court, it was announced today.
The European Court of Human Rights said the case, which accuses 33 European nations of violating the applicants' right to life by disregarding the climate emergency, would be granted priority status due to the "importance and urgency of the issues raised."
‘Protect Our Future’<p>Cláudia Agostinho (21), Catarina Mota (20), Martim Agostinho (17), Sofia Oliveira (15), André Oliveira (12) and Mariana Agostinho (8) are <a href="https://www.desmogblog.com/2020/09/03/youth-climate-lawsuit-portugal-33-european-countries" target="_blank">bringing the case</a> with nonprofit law firm Global Legal Action Network (<span style="background-color: initial;">GLAN</span>), arguing that none of the countries have sufficiently ambitious targets to cut their emissions.</p><p>Portugal recently sweltered through its <a href="https://www.ipma.pt/pt/media/noticias/news.detail.jsp?f=/pt/media/noticias/textos/resumo-clima-julho-20.html" target="_blank">hottest July in 90 years</a> and has seen a rise in devastating heatwaves and wildfires over recent years due to rising temperatures. Four of the applicants live in Leiria, one of the regions worst-hit by the forest fires that killed more than 120 people in 2017. </p><p>Responding to the development, André Oliveira, 12, said: "It gives me lots of hope to know that the judges in the European Court of Human Rights recognise the urgency of our case." </p><p>"But what I'd like the most would be for European governments to immediately do what the scientists say is necessary to protect our future. Until they do this, we will keep on fighting with more determination than ever."</p>
‘Highly Significant'<p>The decision represents a "highly significant" step, <a href="https://www.glanlaw.org/about-us" target="_blank">GLAN</a> Director Dr. Gearóid Ó Cuinn said in a <a href="https://youth4climatejustice.org/" target="_blank">press release</a>.</p><p>"This is an appropriate response from the Court given the scale and imminence of the threat these young people face from the climate emergency," he added. </p><p>By suing the 33 countries all together, the youths aim to compel these national governments to act more aggressively on climate through a single court order, which would potentially be more effective than pursuing separate lawsuits or lobbying policymakers in each country.</p><p>If successful, the defendant countries would be legally bound not only to ramp up emissions cuts, but also to tackle overseas contributions to climate change including those of their multinational enterprises.</p>
‘Major Hurdle’<p>The <a href="https://youth4climatejustice.org/the-case/" target="_blank" rel="noopener noreferrer">countries targeted</a> include all of the European Union member states as well as Norway, Russia, Switzerland, Turkey, Ukraine and the United Kingdom, none of which are currently aligned with <a href="https://www.ecowatch.com/tag/paris-agreement">Paris agreement</a> target to limit global temperature rise to well below 2 degrees C (3.6 degrees F) and pursue a limit of 1.5 degrees C (2.7 degrees F).<a href="https://climateactiontracker.org/countries/" target="_blank" rel="noopener noreferrer"> </a></p><p><a href="https://climateactiontracker.org/countries/" target="_blank" rel="noopener noreferrer">Climate Action Tracker rates</a> most of Europe as "insufficient" in terms of its emissions reduction policies based on the Paris target, while Ukraine, Turkey and Russia are assessed as "critically insufficient" – meaning they are on track for a warming of 4 degrees C or higher.</p><p>The European Union has pledged to slash its emissions by <a href="https://ec.europa.eu/clima/policies/eu-climate-action/2030_ctp_en" target="_blank" rel="noopener noreferrer">at least 55 percent by 2030</a>. But the Portuguese youth plaintiffs are calling for cuts of at least 65 percent by 2030, a level that <a href="http://www.caneurope.org/energy/climate-energy-targets" target="_blank" rel="noopener noreferrer">European climate campaigners say</a> is necessary to meet the 1.5 degrees warming limit.</p><p> The 33 countries must each respond to the youths' complaint by the end of February, before lawyers representing the plaintiffs will respond to the points of defense. </p><p>"Nothing less than a 65 percent reduction by 2030 will be enough for the EU member states to comply with their obligations to the youth-applicants and indeed countless others," Gerry Liston, legal officer with GLAN, said in a press release.</p><p>"These brave young people have cleared a major hurdle in their pursuit of a judgment which compels European governments to accelerate their climate mitigation efforts."</p><p><span></span><em>Reposted with permission from <a href="https://www.desmogblog.com/2020/11/29/court-advances-landmark-youth-climate-lawsuit-against-33-european-nations" target="_blank">DeSmog</a>. </em></p>
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By Liz Kimbrough
Six grassroots environmental activists will receive the prestigious Goldman Environmental Prize in a virtual ceremony this year. Dubbed the "Green Nobel Prize," this award is given annually to environmental heroes from each of the world's six inhabited continents.
Kristal Ambrose, the Bahamas<img lazy-loadable="true" src="https://assets.rebelmouse.io/eyJhbGciOiJIUzI1NiIsInR5cCI6IkpXVCJ9.eyJpbWFnZSI6Imh0dHBzOi8vYXNzZXRzLnJibC5tcy8yNDg0NzI3MC9vcmlnaW4uanBnIiwiZXhwaXJlc19hdCI6MTY1MDM5NTk5MX0.fdMrrUqf0HvWq0Uh0Ii3mXxJczHPyN1jcnSsQoXoerE/img.jpg?width=980" id="b9e66" class="rm-shortcode" data-rm-shortcode-id="b8b8777f7964bb7100672b3be0abf3fe" data-rm-shortcode-name="rebelmouse-image" />
Kristal Ambrose. Goldman Environmental Prize
Chibeze Ezekiel, Ghana<img lazy-loadable="true" src="https://assets.rebelmouse.io/eyJhbGciOiJIUzI1NiIsInR5cCI6IkpXVCJ9.eyJpbWFnZSI6Imh0dHBzOi8vYXNzZXRzLnJibC5tcy8yNDg0NzM2MS9vcmlnaW4uanBnIiwiZXhwaXJlc19hdCI6MTY1MTgzOTE3OX0.KoEZr3oMPKbeG2uT8q-ZsGPOGtIZ3l6V6NXEK5U90FU/img.jpg?width=980" id="65224" class="rm-shortcode" data-rm-shortcode-id="6ec640a8ba56a4db22b57e4f8734a7a4" data-rm-shortcode-name="rebelmouse-image" />
Chibeze Ezekiel. Goldman Environmental Prize
Nemonte Nenquimo, Ecuador<img lazy-loadable="true" src="https://assets.rebelmouse.io/eyJhbGciOiJIUzI1NiIsInR5cCI6IkpXVCJ9.eyJpbWFnZSI6Imh0dHBzOi8vYXNzZXRzLnJibC5tcy8yNDg0NzM2Ny9vcmlnaW4uanBnIiwiZXhwaXJlc19hdCI6MTYwNzYxODYwM30.cys5ZsFGd75UcjybADGBPFt20jrzgrsFujoj_qMTK4E/img.jpg?width=980" id="96b5a" class="rm-shortcode" data-rm-shortcode-id="0778ab7334e3297e0ead52d5fd1499e5" data-rm-shortcode-name="rebelmouse-image" />
Nemonte Nenquimo. Goldman Environmental Prize
Leydy Pech, Mexico<img lazy-loadable="true" src="https://assets.rebelmouse.io/eyJhbGciOiJIUzI1NiIsInR5cCI6IkpXVCJ9.eyJpbWFnZSI6Imh0dHBzOi8vYXNzZXRzLnJibC5tcy8yNDg0NzQwNy9vcmlnaW4uanBnIiwiZXhwaXJlc19hdCI6MTY0NzkzOTYzOH0.uHlN2FQoJJ_KFJWTn4oL__lDyjA0-HDnxewBhwgQRVg/img.jpg?width=980" id="9ab07" class="rm-shortcode" data-rm-shortcode-id="ccc347126d4ce9ddbb3b9c1b4673391b" data-rm-shortcode-name="rebelmouse-image" />
Leydy Pech. Goldman Environmental Prize
Lucie Pinson, France<img lazy-loadable="true" src="https://assets.rebelmouse.io/eyJhbGciOiJIUzI1NiIsInR5cCI6IkpXVCJ9.eyJpbWFnZSI6Imh0dHBzOi8vYXNzZXRzLnJibC5tcy8yNDg0NzQxMS9vcmlnaW4uanBnIiwiZXhwaXJlc19hdCI6MTY2NzE0NTU1NX0.OutmX3sfl4pMaoYssTQ4zk7Y14_hans7-Z-0B0xsjfM/img.jpg?width=980" id="4bcd7" class="rm-shortcode" data-rm-shortcode-id="4bff14750dc0a70fc79e9484ea2bdbd4" data-rm-shortcode-name="rebelmouse-image" />
Lucie Pinson. Goldman Environmental Prize
Paul Sein Twa, Myanmar<img lazy-loadable="true" src="https://assets.rebelmouse.io/eyJhbGciOiJIUzI1NiIsInR5cCI6IkpXVCJ9.eyJpbWFnZSI6Imh0dHBzOi8vYXNzZXRzLnJibC5tcy8yNDg0NzQxNS9vcmlnaW4uanBnIiwiZXhwaXJlc19hdCI6MTY1NDAyNjU0MH0.DHrKykngmcJyJ5rn4r91ANH7FmQ7Us6ZMEOis8yAzGY/img.jpg?width=980" id="8fa36" class="rm-shortcode" data-rm-shortcode-id="0e703d62288df00931cd678c861c6e0b" data-rm-shortcode-name="rebelmouse-image" />
Paul Sein Twa. Goldman Environmental Prize
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