Hybrids may go mainstream under next US fuel rules: Reuters

Reuters is reporting the next round of U.S. fuel efficiency standards aims to push gasoline/electric hybrid vehicles into the mainstream as the Obama administration looks for steeper and more consistent mileage gains from automakers.

An outline of where the administration wants to go on auto efficiency between 2017-25 was due to be completed by regulators on Thursday with an announcement set for Friday, industry and other sources familiar with the plan said.

The document is expected to articulate goals for fuel savings and seek comment from automakers, environmental groups and other interests. A formal proposal would follow and a final rule would be in place at least 18 months before the 2017 model year. This timetable ostensibly allows automakers to adapt any new technology into vehicle design and production.

The administration’s plan, although far from finalized, is important for investors seeking clarity on prospects and costs of various efficiency technologies, like batteries for plug-ins, fuel cells, and lighter-weight vehicle and vehicle component construction materials like composite fibers and aluminum.

President Barack Obama said in May he thought it was possible for cars and trucks to cut their fuel use and carbon emissions by half within 20 years.

The administration is not expected to endorse one fuel option over another, although Obama has pushed U.S. development of battery technology for plug-in electric vehicles, which have small gasoline engines.