GM to Pay Nearly $146M in Penalties for Excess Car Emissions
The Facts
The US National Highway Traffic Safety Administration (NHTSA) said on Wednesday that General Motors will pay $145.8M in penalties and forfeit over 30.6M fuel credits to settle fuel economy compliance issues.
Additionally, the automaker agreed to cancel 50M metric tons of carbon allowances following a multi-year investigation by the US Environmental Protection Agency (EPA) that uncovered excessive emissions from nearly 6M of its vehicles.
The Spin
Narrative A
This settlement demonstrates how important the EPA's light-duty vehicle-in-use testing program is to ensure that vehicles meet the standard requirements so as to reduce air pollution and deliver the intended benefits. Automakers will only comply if there is strong oversight and accountability.
Narrative B
This settlement does resolve issues between General Motors and the federal government, but by no means does it equal an admission of any wrongdoing or noncompliance with regulations. The automaker has long been committed to reducing auto emissions and to achieving the fleet electrification goals.