A coalition of 13 states, led by the Iowa Attorney General Brenna Bird, on April 10 filed a lawsuit with the U.S. Court of Appeals for the Eighth Circuit asking the court to vacate a final rule that revises the petroleum-equivalency factor (PEF) for electric vehicles (EVs), claiming the rule harms ethanol producers and other stakeholders.The rule, issued by the U.S. Department of Energy in March, revises the procedures for calculating a value of the petroleum-equivalent fuel economy of electric vehicles (EVs). The PEF is used by the U.S. EPA in calculating light-duty vehicle manufacturers’ compliance with the U.S. Department of Transportation’s Corporate Average Fuel Economy (CAFE) standards.&nbsp;The petitioners are asking the court to review the PEF rule on the grounds that the rule exceeds DOE’s authority and violates other federal laws. Specifically, the lawsuit claims that DOE lacked statutory authority to improve a fuel-content factor which multiplies the nominal fuel-efficiency of electric automobiles by 6.67; that DOE lacked statutory to apply the revised petroleum-equivalency factor beginning with model year (MY) 2027&nbsp;because the agency is required to perform an annual review of the petroleum-equivalency factor; that DOE failed to perform the required Environmental Impact Statement under the National Environmental Policy Act; and that DOE’s final rule is arbitrary and capricious and otherwise contrary to law.&nbsp;“We’re pulling the plug on Biden’s electric&nbsp;vehicle handout,” Bird said. “Biden has made it clear that he will take every avenue possible to wage war on gas-powered vehicles. And Iowa ethanol is getting caught in the crossfire. I’m leading the charge in court to combat Biden’s extremist anti-energy agenda and protect Iowa ethanol and farmers.”A statement issued by Bird’s office states the lawsuit aims to “pull the plug on Biden’s electric vehicle handout and defend ethanol.” The statement explains that the EPA’s rule overstates the efficiency of electric cars, creating an illegal boost that negatively impacts car owners, car manufacturers, liquid-fuel producers, and the electric grid.&nbsp;“The rule manipulates a more than 30-year-old incentive for car manufacturers that design cars that run on gasoline, ethanol, biodiesel, or compressed natural gas,” Bird’s office said. “The benefit that was intended to support farmers and ethanol producers is now being exploited to harm them by giving handouts to electric vehicles. This rule favoring electric vehicles hurts car-owners, roads, and carbon emissions across the country.”Arkansas, Florida, Idaho, Kansas, Mississippi, Montana, Nebraska, Ohio, Oklahoma, Texas and Utah and the American Free Enterprise Chamber of Commerce are joining Iowa in challenging the PEF rule. A full copy of the lawsuit is available on the Iowa Attorney General’s <a href="https://www.iowaattorneygeneral.gov/newsroom/attorney-general-bird-leads-13-state-lawsuit-to-pull-the-plug-on-biden-electric-vehicle-handout-and">website</a>. A full copy of the PEF rule can be found on the Federal Register <a href="https://www.federalregister.gov/documents/2024/03/29/2024-06101/petroleum-equivalent-fuel-economy-calculation">website</a>.

2024-04-15 - States challenge DOE rule revising the petroleum-equivalency factor for EVs  (Ethanol Producer Magazine)

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A coalition of 13 states on April 10 filed a lawsuit asking an appeals court to vacate a final rule that revises the petroleum-equivalency factor (PEF) for EVs, claiming the rule harms ethanol producers and other stakeholders.

States challenge DOE rule revising the petroleum-equivalency factor for EVs

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