Back in December 2022, GM Authority reported that General Motors was ranked by the Environmental Protection Agency (EPA) as the second-worst automaker in regard to fuel economy ratings over the course of the 2021 calendar year. Now, it appears as though the Detroit-based automaker paid heavily for this distinction.
According to a report from Reuters, the National Highway Traffic Safety Administration (NHTSA) fined GM more than $128.2 million for violations of the Corporate Average Fuel Economy (CAFE) program during the 2016 and 2017 model years.
For comparison, rival Stellantis – which was ranked as the least fuel-efficient automaker in the aforementioned EPA study – was fined $235.5 million for violations over the course of the 2018 and 2019 model years.
“We work towards the goal of a zero-emissions future, we may use a combination of credits from prior model years, expected credits from future model years, credits obtained from other manufacturers, and payment of civil penalties to comply with increasingly stringent CAFE regulations,” a GM spokesperson was quoted as saying.
It’s worth noting that The General had previously not paid any fines in the 40-year history of CAFE. In addition, the Detroit-based automaker had initially planned to use credits to reach minimum fuel economy standards, but instead opted to pay penalties.
General Motors’ decision to save credits may have something to do with reinstated CAFE regulations. As previously reported by GM Authority, the NHTSA signed a recent ruling that allowed the agency to enforce much stiffer penalties for CAFE violations.
As reference, the penalty was $14 for every 0.1 mpg short of the required fuel economy standard during the 2019-2021. Under this new ruling, the fine rose to $15 per 0.1 mpg for the 2022 model year. Before the 2019 model year, the penalty was $5.50 for every 0.1 mpg.
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At a time of year when luxury car ATP usually rises.
Sales decreased 5.6 percent to 16,670 units during the first ten months of 2024.
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Scheduled for a Spring 2025 launch.
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The Bolt recall probably hurt them there. As not many sales in 2022 of the efficient little car.
Corrupt government officials
All they had to do was offer more hybrids and they wouldn't have been fined, but they made their choice to expedite EVs. We'll see if it pays off.
Meanwhile Toyota isn’t paying any fines and can still offer cool vehicles like the V8 Lexus IS.
Abandoning hybrids is one of the dumbest things GM has ever done. 2nd to discontinuing the Cruze.
FYI, these fines were redistributed over to Tesla to pad their profits through the carbon credit initiative. That’s the only reason Tesla is in the black. We buy teslas even when we’re not buying teslas. Isn’t cronyism great 🤦♂️ man I miss the days of a free enterprise economy.
America’s motto should be: Corrupt Market Cronyism: It doesn’t work.
This is unAmerican! We need Trump to roll back the EPA refs again.
Surely you guys can find, in your population of several hundred million, a candidate more suitable than that washed up man child?
Surely there are more people willing to take on the EPA and to run as a republican and with that agenda, you don't need that moron anywhere but "the pasture".
Your 'team' selected old, senile, gobblydegook-speaking Biden and useless word salad, cackling-at-all-the-wrong-moments Harris out of millions of people....so give us a break.
Is it because the TV tells you to be happy with ANYONE wearing a "D" in their title?
Biden's anti-fossil fuel policies will make him a one-termer. He has no idea that auto enthusiasts are not on the expensive EV bandwagon.
Sounds good but no one else was able to pull it off.
GM DID NOT PAY THE FINES!
Buyers of low MPG, high performance vehicles did by virtue of gm TACKING A GAS-GUZZLER TAX ONTO THE PRICE OF THE VEHICLE!
For example, the G-G tax on a C8 Z06 is $2,600.00 as reported by GM Authority on August 14th, 2022.
Montana Bob
The gas guzzler tax only applies to cars not to gas guzzler trucks and SUVs. From the beginning, the gas guzzler tax should have also included all SUVs and all P/Us.
I have never understood CAFE. If you want to limit emissions, than limit emissions and not fuel consumption. Let the manufacturers figure out the best way to lower emissions. This is not the 1970's, there is no need to conserve petroleum.
Don't you get it? Our worthless politicians in DC and Cali know FAR MORE about designing and engineering vehicles than even the most experienced professionals in the auto industry?
Is it the manufactures fault? Hell no! Us buyers demand larger vehicles and more HP. If there was nothing larger than a Malibu, would us consumers be happy?
When you eliminate most sedans and go heavy on gas guzzling full-size pickups and gas guzzling full-size SUVs, this is the result that you will get. Mary Buick Envision Made in China-Barra's decision to eliminate economy cars (Chevy Spark, Chevy Sonic, Chevy Cruze, Buick Verano, Buick Lacrosse) is one of the reasons for the fine.