Bye-bye big thirsty V8s. President Obama has announced a major global warming measure with the first federal standards for fuel efficiency and exhaust emissions for America’s vehicles.

The new standards are due to take effect in 2012. They require that by 2016 most cars be able to achieve 39 miles per US gallon (47 miles per imperial gallon), up from 27.5 mpg at present. Light trucks will have to better today’s 23 mpg by 7mpg. Exhaust emissions will also have to be reduced by 30%.

President Obama called the plan “an historic turning point toward a clean-energy economy”. He said that it was the equivalent of taking 177 million cars off the road within seven years, about the same as closing 194 coal-fired power stations.

An amazing 1.8 billion barrels of oil would be saved over the lifetime of the vehicles said the President. That was more oil than the US imported from Saudi Arabia, Nigeria, Libya and Venezuela combined last year.

Traditionally, the US auto manufacturers have fought tooth and nail to prevent fuel consumption and emissions standards. The new standards finished a long-running battle with the manufacturers. Thirteen states, led by California, had been trying to get federal approval for stricter vehicle efficiency standards. The Bush White House had refused approval. The manufacturers had then been challenging the thirteen states in court. Those cases will now be withdrawn.

The Big Three car makers are not really in a position to argue with the federal government. They are relying on government hand outs and Chrysler has already filed for bankruptcy.

Perhaps, we’re also seeing more of what Daniel Goleman describes as “Ecological Intelligence”  from the car companies. The bosses, belatedly, seem to have realized that consumers are demanding greener, more efficient products. Toyota and Honda already sell them.

Will they be up to the challenge?

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