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May 19, 2009

Tough new fuel standards on the way

Posted: 09:10 AM ET

President Obama will announce tough new fuel standards today, and they may end up costing you more money.

According to administration officials, Obama's proposed changes, along with the cost of already enacted fuel economy standards, will add about $1,300 to the cost of a vehicle by the year 2016.

However, the fuel efficiency regulations could make up for the cost in the money you'll save on gas.

Writer Lauren was kind enough to do the math for us.

- 10,0000 miles per year divided by 27.5 miles per gallon = 363.6

- Multiply that times today's average cost for gallon of gas: $2.31 x 363.6 = $840
gas per year.

- 10,0000 miles per year divided by new standard of 39 gallons = 256

- Multiply that times today's cost for a gallon of gas: $2.31 x 256 = $592

Under Obama's plan, in a passenger car that gets 39 miles per gallon, you'd get a 30% savings on the cost of gas for your car.

Is it worth it to you to spend a bit more on the initial cost of the car if you cut back on gas costs over time?

Let us know what you think in the comments field below!

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Filed under: Your Money


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Donna E   May 19th, 2009 9:39 am ET

It's about time! Since the gas crisis of the 1970's, I have been waiting for SOMEONE to step up to the plate, bite the bullet, and insist on better gas mileage. I realize that this does throw a monkey wrench into the auto industry-but they should have been working on this problem all along on their own! Instead? They all out-competed each other throwing HUGE cars into the market (Hummer, anyone???) that sucked the life blood from people's pockets and the oil reserves. Shame on them!!!! And now we all know why Chysler & GMC are failing–they made their mark producing HUGE cars that no one can afford to drive, and nothing else. GOOD RIDDANCE! Who knows when the next surge in gas prices will occur-it's not IF, it's WHEN! We need to conserve our earth-it's land, water and air, and this step to conserve gas is so important. Hopefully they will throw in some air-pollution reduction measures, too!

donna grant   May 19th, 2009 9:45 am ET

this sounds almost to good to be true, but if the wages are cheaper, the jobs are gone, all this money wasted to change fuel, when greed & power , higher taxes, ensured. what do we do? i guess poor & middle class just doesn't matter in the big scheme of their higher power. our goverment in Mi won't even cut costs to go part time. sad day, they voted it down. spend more, cut jobs, screw the tax payer, special intrest that our goverment mainitains with little to no regard to becoming who we were, not what we've become. a bunch of ponsie schamers

A. Chesnik   May 19th, 2009 9:59 am ET

Let me see? The gov, (we the tax payer) bail out the auto industry. For Chrysler it's the second time. Now the gov. wants to regulate price of autos to save fuel at more cost to the consumer? I say let the market regulate the industry, as Japan and other manufactures have done by producing cheaper cars with better gas milage than the U.S. auto industry. Our government should only impose taxes, and policies to protect the consumers from fraud, not be in the employment business as it is. If they would have operated honestly in regard to other countries in the world today and had protected consumer rights in regard to the business world AIG would never have happened and we wouldn't be where we are today, trillions of dollars in debt and still growing.

Steve   May 19th, 2009 10:46 am ET

Obama's plan to raise fuel mileage is fine but I don't believe it will decrease our fuel costs. Oil companies will simply raise prices to offset what they will lose with the higher mileage. They're not going to give up their huge profits.

Steve   May 19th, 2009 3:31 pm ET

Better fuel standards an emissions will help the economy and earth, which we should have done long time ago. But, the true problem at hand is the cost of the fuel. The fuel giants reported massive gains last year, while the average person could hardly afford to drive. Obama should have went after them first.

Green n er g   May 19th, 2009 10:59 pm ET

depending on who you are determines this question. persons who lease autos may not benifit from this equationl. Say your going to buy the automobile, pay it off and hang onto the thing for some years, yes, that persons benefit majorly. Good idea, but what about the leasers, what are there benefits?

Jimmy   May 20th, 2009 8:11 am ET

sounds familiar, all talk and no action, lets see what happens while they line there pockets with are money, oh did anyone notice the fuel prices going up again, this is really getting old. Hey obama why dont you do something about todays fuel prices instead of talking about what you want to do

Brian, Detroit, MI   May 20th, 2009 7:58 pm ET

The internal combustion engine has been out-dated for about 30 years, maybe more. Let's get off the middle-east's teet and stop plundering our own natural resources. It is possible to build an electric car cheaply that charges as it runs. Why will we never see this? Because the automoble industry is much more interested in profits, from the oil comanies, from the government, from hard-working American's pockets. Makes no difference to them. Executives will always be the greedy individuals that executives have always been.

SLM   May 21st, 2009 10:31 am ET

NO, we should have the choice to buy and drive what we want. Soon we will all be driving a Prius and being forced to pay more for that. What is he going to do about fuel mileage for Motorhomes? Will he just ban those from being produced?

ronvan   May 23rd, 2009 8:42 am ET

Has anyone heard the old story about an inventor that created a fuel system that would supossedly get any car 100MPG, and when the oil companies found out promptly bought the patent and locked it up?
It is the oil companies that are CONTROLLING what we pay for gas.
Why is it that foreign car makers produce vehicles that get much better gas mileage than the big 3 and at a lower price per vehicle?
ALL OF US are part of this problem. Not wanting to change, cannot let go of our gas guzzlers, etc..

Chris   May 27th, 2009 8:54 am ET

The pushing for new standards is fine, but what is going on with the price of fuel? In less then 6 months in my area we have went from $1.80 to $2.65 a gallon. If the goverment wants to help put the brakes on the oil companies. They are in the american public's pocket more then any other group. I can't remember the company that anounced recently $49,000,000.00 profit for just one quarter. I can't afford insurance, health care and or food for having to pay for gas to get to work. Help is needed in this area.

Chris, Ohio

JIRI   June 1st, 2009 2:51 pm ET

The government should crack down on these gas companies for stealing money with the 9/10, or shall we say "SILENT CENT"..i wonder how long they are going to get away with this? Read "the silent cent" here – http://cheatedbythepump.blogspot.com

mjfox   July 10th, 2009 8:13 am ET

i'm a disabeled nam vet,living on va disability. i look at the bs the us gov is forcing on us. for one why are we reinventing the wheel.
gm had an electric car that got 200 miles on a charge 15/20 years ago. why and where is the tech. that built them.
look what you can get in other places in the world. toyota makes the best 4×4 diesel rigs out there but along with most other eficient cars and trucks the us gov will not let them into the usa. why???? how about a mercedes that goes 150 + mph gets 80 mph. they have them you know. wake up people don't you see the scam? give us a choice,don't just say cut back ets. etc... how about brown gas? you got it, on board hydrogen maker. been out there for 50 years or so. for around $500 you can boost your mpg buy 30% or better on water. no storage, makes it as you go. just an example of what is already out there ready to go. how do i get it i live ck to ck??????????

Taylor   September 28th, 2009 10:45 am ET

I am glad they have tougher new fuel standards so that way we can wing ourselves from our dependence on foregin oil. But with that being said I keep hearing on the news about fuel prices dropping. But I live in Southern California and we have yet to see these price drops. In fact some stations continue to rise prices or have had no change. Why are we paying so much while the rest of the nation is consistently paying fifty cents to a dollar less.

darleen   October 29th, 2009 6:01 am ET

well if everyone were to drive a Ford Fusion, they would already be getting 28 to 30 miles per gallon of gas. and this is talking about a six cylender car not a 4 I have had mine since 2007 and that is the milage I get with the fusion, apperantly President Obama had never check into the Ford Fusion. and if Ford can do can do this with their Fusion then why can't all of the car dealers.
thank you

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